METALLA ANNOUNCES REVOLVING CREDIT FACILITY OF UP TO $75 MILLION AND RETIREMENT OF BEEDIE FACILITY
Metalla Royalty & Streaming (NYSE American: MTA) has secured a new $40 million revolving credit facility with Bank of Montreal and National Bank Financial, featuring an accordion option to increase to $75 million. The facility includes a 3-year initial term with annual extension options.
The company has simultaneously retired its existing C$50.0 million convertible loan facility with Beedie Investments, drawing $13.1 million from the new facility to settle all outstanding obligations. The new facility offers more favorable terms, including interest rates of SOFR plus 2.50% to 3.50% for Term Benchmark Advances, and requires the company to meet specific financial covenants.
Metalla Royalty & Streaming (NYSE American: MTA) ha ottenuto una nuova linea di credito revolving da 40 milioni di dollari con Bank of Montreal e National Bank Financial, con un'opzione di aumento fino a 75 milioni di dollari. La linea prevede un termine iniziale di 3 anni con possibilità di estensione annuale.
Contestualmente, la società ha estinto la sua linea di prestito convertibile da 50 milioni di dollari canadesi con Beedie Investments, utilizzando 13,1 milioni di dollari della nuova linea per saldare tutti gli obblighi in sospeso. La nuova linea offre condizioni più vantaggiose, inclusi tassi d'interesse pari a SOFR più 2,50% - 3,50% per gli anticipi a termine benchmark, e richiede il rispetto di specifici covenant finanziari.
Metalla Royalty & Streaming (NYSE American: MTA) ha asegurado una nueva línea de crédito revolvente de 40 millones de dólares con Bank of Montreal y National Bank Financial, con una opción de expansión hasta 75 millones de dólares. La línea tiene un plazo inicial de 3 años con opciones de extensión anual.
La empresa ha cancelado simultáneamente su línea de préstamo convertible de 50 millones de dólares canadienses con Beedie Investments, utilizando 13,1 millones de dólares de la nueva línea para liquidar todas las obligaciones pendientes. La nueva línea ofrece términos más favorables, incluyendo tasas de interés de SOFR más 2.50% a 3.50% para adelantos a plazo de referencia, y exige que la empresa cumpla con ciertos convenios financieros.
Metalla Royalty & Streaming (NYSE American: MTA)는 Bank of Montreal 및 National Bank Financial과 함께 4,000만 달러 규모의 회전 신용 한도를 확보했으며, 최대 7,500만 달러까지 확장할 수 있는 옵션을 포함하고 있습니다. 이 신용 한도는 3년의 초기 기간과 연간 연장 옵션을 포함합니다.
회사는 동시에 Beedie Investments와의 기존 5,000만 캐나다 달러 전환 대출 한도를 상환했으며, 새로운 신용 한도에서 1,310만 달러를 인출하여 모든 미지급 채무를 해결했습니다. 새로운 신용 한도는 SOFR에 2.50%에서 3.50%를 더한 금리 등 더 유리한 조건을 제공하며, 회사는 특정 재무 약정을 준수해야 합니다.
Metalla Royalty & Streaming (NYSE American : MTA) a obtenu une nouvelle ligne de crédit renouvelable de 40 millions de dollars auprès de la Bank of Montreal et de National Bank Financial, avec une option d'extension jusqu'à 75 millions de dollars. La facilité comprend une durée initiale de 3 ans avec des options de prolongation annuelles.
La société a simultanément remboursé sa facilité de prêt convertible de 50 millions de dollars canadiens avec Beedie Investments, tirant 13,1 millions de dollars de la nouvelle facilité pour régler toutes les obligations en cours. La nouvelle facilité offre des conditions plus avantageuses, notamment des taux d'intérêt de SOFR plus 2,50 % à 3,50 % pour les avances à terme de référence, et exige que la société respecte certains engagements financiers.
Metalla Royalty & Streaming (NYSE American: MTA) hat eine neue revolvierende Kreditfazilität über 40 Millionen US-Dollar mit der Bank of Montreal und National Bank Financial gesichert, mit einer Akkordeon-Option zur Erhöhung auf 75 Millionen US-Dollar. Die Fazilität hat eine anfängliche Laufzeit von 3 Jahren mit jährlichen Verlängerungsoptionen.
Das Unternehmen hat gleichzeitig seine bestehende konvertible Kreditfazilität über 50 Millionen kanadische Dollar mit Beedie Investments zurückgezahlt und dazu 13,1 Millionen US-Dollar aus der neuen Fazilität verwendet, um alle ausstehenden Verpflichtungen zu begleichen. Die neue Fazilität bietet günstigere Konditionen, darunter Zinssätze von SOFR plus 2,50 % bis 3,50 % für Term Benchmark Advances, und verlangt die Einhaltung bestimmter finanzieller Auflagen.
- New $40M revolving credit facility with potential increase to $75M provides enhanced financial flexibility
- Lower cost of capital achieved without equity dilution
- Improved terms compared to previous convertible facility
- Strengthened balance sheet for pursuing larger acquisitions
- New facility requires compliance with financial covenants including leverage ratio and minimum liquidity
- Company takes on new secured debt obligations
- Increased interest rate exposure with SOFR-based pricing
Insights
Metalla's new $40M revolving credit facility with $35M accordion lowers borrowing costs and enhances acquisition capacity without dilution.
Metalla has significantly improved its financial flexibility by replacing its C$50 million convertible loan facility with Beedie with a more advantageous $40 million revolving credit facility from BMO and NBF. The deal includes an accordion feature that could increase the total facility to $75 million, subject to conditions.
This refinancing represents a strategic enhancement to Metalla's capital structure for several reasons. First, it eliminates the potential equity dilution associated with the previous convertible facility. Second, it explicitly lowers their cost of capital, which should improve cash flow and profitability metrics. The new facility's interest rate (SOFR plus 2.50%-3.50%) and standby fees (0.56%-0.79%) are structured to vary based on the company's leverage ratio, incentivizing disciplined financial management.
The 3-year term with extension options provides Metalla with medium-term financing stability, while the facility's purpose specifically includes financing acquisitions—signaling the company's intent to pursue growth opportunities in the royalty and streaming space. The
This refinancing transforms Metalla's financial position from having a convertible debt structure with dilution risk to a more flexible corporate banking relationship that can scale with the company's growth. For a royalty and streaming company, where access to capital is essential for portfolio expansion, this enhanced financial flexibility represents a meaningful competitive advantage in pursuing larger, accretive transactions.
(All dollar amounts are in United States dollars unless otherwise indicated)
"We are pleased to announce this new revolving credit facility, which meaningfully lowers our cost of capital and enhances our financial flexibility—without any equity dilution," commented Brett Heath, CEO of Metalla. "The
"We're grateful to both BMO and NBF for their support and partnership, and we look forward to working closely with them as we build Metalla into a leading emerging mid-tier royalty and streaming company. We would also like to extend our sincere thanks to Beedie for their longstanding support over the past six years as our principal lender and a major shareholder. We're pleased to have them remain one of our largest shareholders going forward."
REVOLVING CREDIT FACILITY
On June 24, 2025, Metalla entered into a definitive agreement with BMO and NBF for a revolving credit facility of
Key terms of the Facility include:
- Purpose – the Facility will be available for general corporate purposes and to finance acquisitions and investments;
- Maturity date – the Facility will have an initial term of 3 years, which is extendable annually for one year on the mutual agreement of Metalla, BMO, and NBF;
- Availability – the Facility may be drawn in USD Base Rate Advances or Term Benchmark Advances.
- Interest rate –
- USD Base Rate Advances will bear an interest rate equal to a base rate plus applicable margin; and
- Term Benchmark Advances will bear an interest rate equal to the Secured Overnight Financing Rate ("SOFR") plus
2.50% to3.50% per annum depending on the Company's leverage ratio;
- Standby fee – the undrawn portion of the Facility is subject to standby fee of
0.56% to0.79% per annum depending on the Company's leverage ratio; - Financial Covenants – the Facility require the Company to meet certain financial covenants including a net leverage ratio, an interest coverage ratio, and minimum liquidity amount; and
- Security – the Facility is secured by certain assets of the Company and its material subsidiaries.
BMO is the administrative agent of the Facility, and BMO and NBF are co-lead arrangers and joint bookrunners.
Upon close, the Company drew down
BEEDIE FACILITY
On June 18, 2025, concurrently with closing of the Facility, the Company fully repaid and retired the Convertible Facility with Beedie. The final payments to Beedie included a repayment of the principal loan balance of
ABOUT METALLA
Metalla provides shareholders with leveraged gold, silver, and copper exposure by acquiring royalties and streams. Our goal is to increase share value by accumulating a diversified portfolio of royalties and streams with attractive returns. Our strong foundation of current and future cash-generating asset base, combined with an experienced team, gives Metalla a path to become one of the leading royalty companies.
For further information, please visit our website at www.metallaroyalty.com.
ON BEHALF OF METALLA ROYALTY & STREAMING LTD.
(signed) "Brett Heath"
Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accept responsibility for the adequacy or accuracy of this alert.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable securities legislation. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budgets", "scheduled", "estimates", "forecasts", "predicts", "projects", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur, or be achieved. Forward-looking statements include, but are not limited to, the statements of the expected benefits under the Facility including the Company's ability to pursue, and success in pursuing, external growth opportunities; use of proceeds from the Facility, as well as the potential for the Facility to unlock new acquisition opportunities; the applicable interest rate under the Facility; the ability of the Company to exercise the Accordion option; the term and expected maturity of the Facility; developments in respect of the Company's portfolio of royalties and streams and related interests and those developments at certain of the mines, projects or properties that underlie the Company's interests; and Metalla having a path to becoming a leading gold and silver royalty company.
Forward-looking statements and information are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties, and contingencies. Forward-looking statements and information are subject to various known and unknown risks and uncertainties, many of which are beyond the ability of Metalla to control or predict, that may cause Metalla's actual results, performance or achievements to be materially different from those expressed or implied thereby, and are developed based on assumptions about such risks, uncertainties and other factors set out herein, including but not limited to: that the Facility will not be advanced within the expected timeframe, the ability of the Company to carry out its growth plans; the absence of control over mining operations from which Metalla will purchase precious metals or from which it will receive stream or royalty payments and risks related to those mining operations, including risks related to international operations, government and environmental regulation, delays in mine construction and operations, actual results of mining and current exploration activities, conclusions of economic evaluations and changes in project parameters as plans are refined; problems related to the ability to market precious metals or other metals; industry conditions, including commodity price fluctuations, interest and exchange rate fluctuations; interpretation by government entities of tax laws or the implementation of new tax laws; regulatory, political or economic developments in any of the countries where properties in which Metalla holds a royalty, stream or other interest are located or through which they are held; risks related to the operators of the properties in which Metalla holds a royalty or stream or other interest, including changes in the ownership and control of such operators; risks related to global pandemics, including the current novel coronavirus (COVID-19) global health pandemic, and the spread of other viruses or pathogens; influence of macroeconomic developments; business opportunities that become available to, or are pursued by Metalla; reduced access to debt and equity capital; litigation; title, permit or license disputes related to interests on any of the properties in which Metalla holds a royalty, stream or other interest; the volatility of the stock market; competition; future sales or issuances of debt or equity securities; use of proceeds; dividend policy and future payment of dividends; liquidity; market for securities; enforcement of civil judgments; and risks relating to Metalla potentially being a passive foreign investment company within the meaning of
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SOURCE Metalla Royalty & Streaming Ltd.
FAQ
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