EANS-News: Identive Group Inc. Identive Secures New Growth Capital
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Corporate news transmitted by euro adhoc. The issuer/originator is solely
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Financing, Stock Offerings (IPO)
SANTA ANA, Calif. and ISMANING, Germany, November 1, 2012 (euro adhoc) -
Identive Group, Inc. (NASDAQ: INVE; Frankfurt: INV), a provider of products and
services for the identification, security and RFID industries, today announced
that it has entered into a $10 million secured loan agreement with Hercules
Technology Growth Capital, Inc. (NYSE: HTGC). On October 30, 2012, Identive
received an initial advance of $7.5 million, and has the opportunity to borrow
an additional $12.5 million for a total of $20 million subject to terms and
conditions set forth in the agreement.
The initial drawdown of $7.5 million is in the form of a three-year promissory
note that bears interest at a rate of the greater of the prime rate plus 7.75%
or 11.00%. The Company's ability to borrow additional funds under the loan
agreement is subject to its ongoing compliance with a number of customary
financial and other covenants as described in the loan agreement.
David A. Wear, CFO of Identive commented, "Our success in securing non-dilutive
financing on market terms with a premier technology lender not only gives us an
important cushion against business downturn, but enables us to fund working
capital growth requirements. Access to this additional liquidity allows us to
manage our growth business needs more efficiently as we continue to invest in
and build upon emerging opportunities in the secure identification market."
Hercules Technology Growth Capital is a leading specialty finance company based
in Palo Alto, California and focused on providing senior secured loans to
venture capital-backed companies in technology-related markets.
Piper Jaffray & Co. acted as exclusive financial advisor and sole placement
agent to Identive on the loan transaction.
About Identive
Identive Group, Inc. (NASDAQ: INVE; Frankfurt: INV) is focused on building the
world's signature company in Secure ID. The company's products, software,
systems and services address the markets for identity management, physical and
logical access control, cashless payment, NFC solutions and a host of
RFID-enabled applications for customers in the government, enterprise, consumer,
education and healthcare sectors. Identive's mission is to build a lasting
business of scale and technology based on a combination of strong
technology-driven organic growth and disciplined acquisitive expansion. The
company delivers up-to-date information on its activity as well as industry
trends through its industry-leading social media initiatives and educational
resource, AskIdentive.com. For additional information, please visit
www.identive-group.com or follow on Twitter at @IdentiveGroup.
Note Regarding Forward Looking Information:
This press release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking statements can be
identified by words such as "anticipates," "believes," "plans," "will,"
"intends," "expects," and similar references to the future. Examples of such
statements include, without limitation, statements we make regarding our ability
to manage the growth of our business and working capital requirements. Readers
should not unduly rely on these forward-looking statements, which are not a
guarantee of future performance and are subject to a number of risks and
uncertainties, many of which are outside our control, which could cause our
actual business and operating results to differ. Factors that could cause actual
results to differ materially from those in the forward-looking statements
include our ability to implement our growth strategy, to successfully develop
and commercialize new products and solutions, our ability to meet our sales
forecasts, and our ability to meet financial covenants of our loan agreement.
For a discussion of further risks and uncertainties related to our business,
please refer to our public company reports, including our Annual Report on Form
10-K for the year ended December 31, 2011 and subsequent reports filed with the
U.S. Securities and Exchange Commission. All forward-looking statements are
based on information available to us on the date hereof, and we assume no
obligation to update such statements.
Further inquiry note:
Darby Dye, +1 949 553-4251, ddye@identive-group.com
Lennart Streibel, +49 89 9595-5195, lstreibel@identive-group.com
end of announcement euro adhoc
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company: Identive Group Inc.
Carnegie Ave., Bldg. B 1900
US-CA 92705 Santa Ana
phone: +1 949 553 4280
FAX: +49 89 9595-5555
mail: investorrelations@identive-group.com
WWW: http://www.identive-group.com
sector: Computing & Information Technology
ISIN: US45170X1063
indexes: NASDAQ
stockmarkets: free trade: Berlin, München, Hamburg, Düsseldorf, Stuttgart,
Nasdaq: New York, Open Market / Entry Standard: Frankfurt
language: English