TORONTO, June 30, 2020 /CNW/ - TeraGo Inc.
("TeraGo" or the "Company") (TSX:
TGO, www.terago.ca), today announced that an amended
and restated credit agreement (the "Credit Agreement") was
entered into between TeraGo Networks Inc., the Company, as
guarantor, and each of Royal Bank of Canada ("RBC", as new administrative
agent and lead lender) and The Toronto-Dominion Bank ("TD").
National Bank of Canada has ceased
to be administrative agent and a lender to TeraGo, and has assigned
its rights and obligations to RBC, in its capacity as
administrative agent under the Credit Agreement.
The parties to the Credit Agreement agreed, among other things,
to extend the maturity date from June 14,
2021 to June 30, 2022. The new
facilities under the Credit Agreement total $35.0M, comprising of a $30.0M non-revolving term facility and a
$5.0M revolving operating credit
facility.
The covenants and other terms and conditions under the Credit
Agreement were substantially carried over from the existing credit
agreement.
"We are pleased to further strengthen our borrowing relationship
with RBC and TD", says Tony
Ciciretto, President and CEO of TeraGo. "The extension and
amendment of our Credit Agreement gives us the financial support
and flexibility we need to execute on our near to mid-term business
plans."
About TeraGo
TeraGo owns a national spectrum portfolio of exclusive 24GHz and
38GHz wide-area spectrum licences, including 2,120 MHz of spectrum
across Canada's 6 largest cities.
TeraGo provides businesses across Canada with cloud, colocation and connectivity
services. TeraGo manages over 3,000 cloud workloads, operates five
data centres in the Greater Toronto
Area, the Greater Vancouver
Area, and Kelowna, and owns
and manages its own IP network. The Company serves business
customers in major markets across Canada, including Toronto, Montreal, Calgary, Edmonton, Vancouver, Ottawa and Winnipeg.
For more information about TeraGo, please visit
www.terago.ca.
SOURCE TeraGo Inc.