NEWS - Thursday, October 25, 2007
Atari Secures $10 million Credit Facility
The company said funds affiliated with BlueBay Asset Management, a significant shareholder in Infogrames, had purchased all of the $3 million of loans outstanding under the company’s credit facility with Guggenheim Corporate Funding, and that it had entered into a senior secured credit facility with BlueBay High Yield Investments. ‘The Senior Secured Credit Facility waives and amends certain provisions of the Guggenheim Credit Facility, increases the availability to $10 million, eliminates the borrowing base requirements and certain prepayment fees, and extends the maturity of the outstanding borrowings to December 31, 2009’, Infogrames said in a statement. "This revised credit facility is a major step in addressing Atari’s liquidity needs and providing financing to support its near term business plan," said Atari’s chief restructuring officer, Curt G. Solsvig III. However, the company said that the $10 million, which will help to build inventory for the 2007 calendar holiday season and for day-to-day working capital needs, does not fully satisfy Atari’s funding requirements and additional financing is being sought.Source: http://www.next-gen.biz
