Company re-structures existing debt and expands available credit facility
HATBORO, Pa., May 5 /PRNewswire-FirstCall/ -- InfoLogix, Inc. (Nasdaq: IFLG), a leading technology provider of enterprise mobility solutions for the healthcare and commercial industries, announced today that it has completed a senior debt financing of up to $25 million with Hercules Technology Growth Capital, Inc. (Nasdaq: HTGC).
The financing will restructure the company's senior debt through a new $10.0 million working capital revolving line of credit, which will increase to $12.5 million upon certain conditions, and a $12.5 million term loan facility.
"This financing is an excellent opportunity for InfoLogix to retire our existing debt and replace it with a new facility that offers favorable terms and greater liquidity," says David T. Gulian, president and CEO of InfoLogix. "We believe it is particularly notable that in today's challenging financing environment, InfoLogix was able to secure additional growth capital with favorable terms."
InfoLogix recently reported revenues of $23.8 million for the first quarter of 2008-the highest quarterly revenues in company history, which was an 80.6% increase over the same period of 2007. In addition, InfoLogix has previously reported guidance that it believes the Company will realize more than $100 million in revenues in 2008. The Company's customers include more than 1,400 hospitals and 800 commercial organizations across North America.
"Management is pleased with our customer growth, our strong start to the fiscal year, and the record revenue pace that we are on," says Gulian. "We believe that the terms of this new financing are a reflection of this growth, our proven execution of our business plan to date, and the growing market opportunity for enterprise mobility solutions for which InfoLogix has established a strong leadership position.
About InfoLogix, Inc.
InfoLogix is a leading provider of technology and RFID based intelligence solutions that enable the mobile enterprise. InfoLogix uses the industry's most advanced technologies to increase the efficiency, accuracy, and transparency of complex business and clinical processes for the healthcare industry and the commercial marketplace. With 19 issued patents, InfoLogix provides mobile managed solutions, on-demand software applications, mobile infrastructure products, and strategic consulting services to over 2,000 clients in North America including Kraft Foods, Merck and Company, General Electric, Kaiser Permanente, MultiCare Health System and Stanford School of Medicine. InfoLogix is a publicly-traded company (Nasdaq: IFLG). For more information, visit http://www.infologix.com
About Hercules Technology Growth Capital, Inc.:
Hercules Technology Growth Capital, Inc. is a NASDAQ traded specialty finance company providing debt and equity growth capital to technology and life science companies at all stages of development. Founded in December 2003, the company primarily finances privately held companies backed by leading venture capital and private equity firms. Hercules invests in a broad range of ventures active in technology and life science industries and offers a full suite of growth capital products up and down the capital structure. The company is headquartered in Palo Alto, Calif. and has additional offices in the Boston, Boulder, San Diego and Chicago areas. Providing capital to publicly-traded or privately-held companies backed by leading venture capital and private equity firms involves a high degree of credit risk and may result in potential losses of capital. For more information, please visit http://www.HTGC.com.
InfoLogix makes forward-looking statements in this press release that represent our expectations or beliefs about future events and financial performance. Forward-looking statements are identifiable by words such as "believe," "anticipate," "expect," "intend," "plan," "will," "may" and other similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. Forward-looking statements are subject to known and unknown risks and uncertainties, including the risks described in our Annual Report on Form 10-K for the period ended December 31, 2007 and other filings we make with the Securities and Exchange Commission. In addition, actual results could differ materially from those suggested by the forward- looking statements, and therefore you should not place undue reliance on the forward-looking statements. We do not make any commitment to revise or update any forward-looking statements to reflect events or circumstances occurring or existing after the date any forward-looking statement is made.
|SOURCE InfoLogix, Inc.|
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