DENVER, Oct. 6 /PRNewswire-FirstCall/ -- Corgenix Medical Corporation (OTC Bulletin Board: CONX), a worldwide developer and marketer of diagnostic test kits, has announced that the company has been successful in securing a $1,750,000 credit facility providing initial funding of $1,109,000 in an asset based financing from Summit Financial Resources L.P. This financing allowed for the retirement of the company's factoring line of credit with Benefactor Funding Corp., and will be used for working capital purposes.
The agreement with Summit initially has a term of three years. Under the agreement, the company has the ability to borrow up to $1.75 million in cash secured by accounts receivable, inventory and other assets.
"This transaction, which is the culmination of many weeks of discussions with the Summit team, is a vital element in furthering the execution of our strategic plan," stated William Critchfield, Senior Vice President and Chief Financial Officer of Corgenix. "The new financing allows us to retire the existing factoring line, provides us with a fresh infusion of cash, and further provides us much greater financial flexibility and growth potential going forward."
Gordon La Haye, President & CEO of Summit Financial Resources, commented, "Summit is very pleased that Corgenix has chosen to replace their existing line with our working capital facility. We look forward to helping them achieve their growth objectives with this new, more flexible credit line." The Summit Financial Resources team was led by Renee Jackson, VP, Business Development Officer for the Intermountain Region, based in Denver.
"We have been extremely impressed by the professionalism and the very organized approach put forth by Summit," stated Critchfield. "Summit's asset size along with the broad expertise possessed by their management and lending team is very impressive. The fact that they were equally excited to have Corgenix as a
|SOURCE Corgenix Medical Corporation|
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