CALGARY, July 4, 2017 /CNW/ - Mosaic Capital Corporation
("Mosaic") (TSX-V Symbols: M and M.DB) is pleased to
announce that it has amended its credit agreement with ATB
Corporate Financial Services providing for an increase in its
credit facility from $35 million to
$50 million, with the additional
availability being earmarked to support Mosaic's next
acquisition. The credit facility remains a revolving
committed facility which is available for the purposes of
acquisitions, day to day operating requirements and capital
expenditures. The credit facility bears interest at grid
rates ranging from bank prime plus 0.50% - 1.50% and is secured by,
among other things, a general security agreement and the assignment
of securities that Mosaic holds in certain subsidiaries.
"This increased credit line availability enhances Mosaic's
financial flexibility to make additional acquisitions," commented
Mark Gardhouse, CEO. Mr. Gardhouse
continued, "Mosaic's mid-market acquisition pipeline remains robust
and we continue to see strong value creation opportunities for our
shareholders as we pursue our growth plans."
ABOUT MOSAIC CAPITAL CORPORATION
Mosaic is a Canadian investment company that owns a portfolio of
established businesses which span a diverse range of industries and
geographies. Mosaic's strategy is to create long-term value for its
shareholders through accretive acquisitions, long-term portfolio
ownership, sustained cash flows and organic portfolio growth.
Mosaic achieves its objectives by maintaining financial discipline,
acquiring businesses at attractive valuations, performing extensive
acquisition due diligence, utilizing optimal transaction
structuring and working closely with subsidiary businesses after
acquisition.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
FORWARD-LOOKING INFORMATION:
This news release contains forward-looking information and
statements within the meaning of applicable Canadian securities
laws (herein referred to as "forward-looking statements") that
involve known and unknown risks, uncertainties and other factors
that may cause actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. All information and statements in this news
release which are not statements of historical fact may be
forward-looking statements. The words "believe", "expect",
"intend", "estimate", "anticipate", "project", "scheduled", and
similar expressions, as well as future or conditional verbs such as
"will", "should", "would", and "could" often identify
forward-looking statements. In particular, forward-looking
statements in this news release include, but are not limited to:
statements respecting the potential by Mosaic to complete further
acquisitions and the intended use of the additional credit facility
generally. Such statements or information, if any, are only
predictions and reflect the current beliefs of management with
respect to future events and are based on information currently
available to management. Actual results and events may differ
materially from those contemplated by these forward-looking
statements due to these statements being subject to a number of
risks and uncertainties.
Undue reliance should not be placed on these forward-looking
statements as there can be no assurance that the plans, intentions
or expectations upon which they are based will occur. By their
nature forward-looking statements involve assumptions and known and
unknown risks and uncertainties, both general and specific, that
contribute to the possibility that the predictions, forecasts,
projections and other things contemplated by the forward-looking
statements will not occur. Some of the assumptions made by Mosaic
upon which forward-looking statements are typically based
include: the business operations of the operating businesses
of Mosaic continuing on a basis consistent with prior years; the
ability of Mosaic and its subsidiaries to access financing from
time to time on favorable terms; the ability of Mosaic to realize
anticipated benefits of acquisitions; the continuation of executive
and operating management or the non-disruptive replacement of them
on competitive terms; the ability of Mosaic to maintain reasonably
stable operating and general administrative expenses; the current
economic environment in western Canada (including commodity prices, such as
oil prices) stabilizing and showing signs of strengthening over the
coming year; and the economic environment in Canada not deteriorating due to the influence
of international economic developments in the United States, Europe, Asia
and elsewhere.
A number of factors could cause actual results to differ
materially from the results stated in the forward-looking
statements, including, but not limited to, risks related to:
general economic and business conditions; the failure of Mosaic to
identify acquisition targets or complete announced acquisitions;
third parties honouring their contractual obligations with Mosaic
and its subsidiaries; results of management's ongoing efforts to
sell, re-lease, lease, develop and improve real estate owned and
being acquired indirectly by Mosaic through its subsidiaries; the
failure to realize the anticipated benefits of Mosaic's recent and
future acquisitions; adverse fluctuations in commodity prices;
competition for, among other things, capital, equipment and skilled
personnel; the inability to generate sufficient cash flow from
operations to meet current and future obligations; the inability to
obtain required debt and/or equity capital on suitable terms;
competition for acquisition targets; supply disruptions; adverse
weather conditions; seasonality and fluctuations in results; and
limited diversification of Mosaic's subsidiaries. Should any of the
risks or uncertainties facing Mosaic and its subsidiaries
materialize, or should assumptions underlying the forward-looking
statements prove incorrect, actual results, performance, activities
or achievements could vary materially from those expressed or
implied by any forward-looking statements contained in this news
release.
Readers are cautioned that the foregoing list of risks is not
exhaustive. Additional information on these and other factors that
could affect the operations or financial results of Mosaic and its
subsidiaries are included in Mosaic's annual information form for
the year ended December 31, 2016
which has been filed under Mosaic's profile on SEDAR
(www.sedar.com).
Although Mosaic believes that the expectations represented by
any forward-looking-statements contained herein are reasonable
based on the information available to them on the date of this news
release, management cannot assure investors that actual results,
performance or achievements will be consistent with these
forward-looking statements. Any forward-looking statements herein
contained are made as of the date of this news release and Mosaic
does not assume any obligation to update or revise them to reflect
new information, events or circumstances, except as required by
law.
SOURCE Mosaic Capital Corporation