Danimer Scientific, Inc. (NYSE: DNMR) shares just cleared breakeven Monday. The company, a leading next generation bioplastics concern focused on the development and production of biodegradable materials, entered last week into an asset-based revolving credit and security agreement with Mountain Ridge Capital secured primarily by the Company’s accounts receivable and inventory.
The credit and security agreement provides for borrowings under a revolving commitment of $20 million with availability determined by a borrowing base formula as provided in the agreement. The agreement, among other things, also allows for increases in the commitment up to an additional $5 million and matures on or about April 19, 2027 (earlier maturity is subject to occurrence of certain events). Revolving loans are expected to be used, among other things, for general corporate purposes and working capital needs as permitted by the credit and security agreement.
“Danimer,” says Monday morning’s news release, “is a pioneer in creating more sustainable, more natural ways to make plastic products. For more than a decade, its renewable and sustainable biopolymers have helped create plastic products that are biodegradable and compostable and return to nature instead of polluting our lands and waters. Danimer’s technology can be found in a vast array of plastic end products that people use every day.”
DNMR shares added just less than a cent to 78 cents.
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