TORONTO, June 15,
2023 /PRNewswire/ - Quarterhill Inc. ("Quarterhill"
or the "Company") (TSX: QTRH) (OTCQX: QTRHF), a leading provider of
tolling and enforcement solutions in the Intelligent Transportation
System ("ITS") industry, announces that it has reached an agreement
in principle with its existing syndicate of bank lenders led by
HSBC Bank Canada (the "Syndicate") on updates to the existing
credit agreement (the "Credit Agreement") with the Company's
subsidiary Quarterhill ITS Inc. The amended Credit Agreement is
expected to be finalized and effective by June 30, 2023.
As disclosed with the Company's financial statements for the
three-month period ended March 31,
2023, Quarterhill ITS Inc. was offside certain ratio
covenants in the Credit Agreement. Under the terms agreed to in
principle of the amended Credit Agreement, Quarterhill ITS Inc.
will be granted a covenant relief period by the Syndicate through
December 31, 2023.
Other terms and conditions to the amended Credit Agreement are
customary for transactions of this nature.
"We are pleased to have reached this agreement in principle with
our lenders and for their continued support of the business," said
John Gillberry, Interim CEO,
Quarterhill. "The amended Credit Agreement will provide us with
flexibility as we execute on our ITS growth plan."
About Quarterhill
Quarterhill is a leading provider of tolling and enforcement
solutions in the Intelligent Transportation System (ITS) industry,
as well as, through its Wi-LAN Inc. subsidiary, a leader in
Intellectual Property licensing. Our goal is global leadership in
ITS, via organic growth of the Electronic Transaction Consultants,
LLC (ETC) and International Road Dynamics Inc. (IRD) platforms, and
by continuing an acquisition-oriented investment strategy that
capitalizes on attractive growth opportunities within ITS and its
adjacent markets. Quarterhill is listed on the TSX under the symbol
QTRH and on the OTCQX Best Market under the symbol QTRHF. For more
information, visit www.quarterhill.com.
Forward-looking
Information
This news release contains forward-looking statements regarding
Quarterhill, its operating subsidiaries and their respective
businesses. Forward-looking statements are based on estimates and
assumptions made by Quarterhill in light of its experience and its
perception of historical trends, current conditions, expected
future developments and the expected effects of new business
strategies, as well as other factors that Quarterhill believes are
appropriate in the circumstances. The forward-looking events and
circumstances discussed herein may not occur and could differ
materially as a result of known and unknown risk factors and
uncertainties affecting Quarterhill, which include, without
limitation, the risks described in Quarterhill's March 22, 2023 annual information form for the
year ended December 31, 2022 (the
"AIF"). In addition, readers are also urged to review the
additional risk factors disclosed in our Management's Discussion
and Analysis for the three months ended March 31, 2023 filed today on www.sedar.com.
Quarterhill recommends that readers review and consider all of
these risk factors and notes that readers should not place undue
reliance on any of Quarterhill's forward-looking statements.
Quarterhill has no intention, and undertakes no obligation, to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as
required by law.
View original
content:https://www.prnewswire.com/news-releases/quarterhill-announces-update-to-credit-agreement-301852559.html
SOURCE Quarterhill Inc.