BitNile Holdings Obtains $14.7 Million in Secured Debt Financing to Support Private Equity Investment
19 Diciembre 2022 - 5:30AM
Business Wire
BitNile Holdings, Inc. (NYSE American: NILE), a diversified
holding company (“BitNile” or the “Company”)
announced today that it borrowed $14.7 million of principal amount
of a secured promissory note (the “Note”) from an accredited
investor and shareholder. The Note matures on March 16, 2023,
although if the Company repays at least $12 million of principal
payment on or before the maturity date, the Company may extend the
maturity date by 45 days by paying a fee of 10% of the outstanding
balance owed as of the original maturity date. The Note is secured
by certain assets of the Company and various subsidiaries. The
purchase price for the Note was $13.5 million, of which $12 million
was paid in cash and $1.5 million was a non-accountable expense
allowance.
The Loans are guaranteed by Ault Lending, LLC, a subsidiary of
the Company (“Ault Lending”), Ault & Company, Inc., an
affiliate of the Company, as well as Milton C. Ault, III, the
Company’s Executive Chairman and the Chief Executive Officer of
Ault & Company, Inc.
The proceeds from the Note will be used for one of the Company’s
first private equity related investments, the previously announced
agreement to purchase substantially all of the operating assets of
Circle 8 Crane Services LLC (“Circle 8”), which is expected
to close later today. The Company’s investments in private equity
and commercial real estate are led by Christopher K. Wu, the
President of the Company’s subsidiary, Ault Alliance, Inc.
The Company’s Founder and Executive Chairman, Milton “Todd”
Ault, III said, “Chris Wu and I are very pleased to close this
financing related to what I believe will be a transformational
acquisition of the crane operations of Circle 8, an expected key
component of our initiatives in energy and infrastructure. We
expect to repay the Note from funds from Ault Lending and proceeds
from certain real estate transactions.”
For more information on BitNile and its subsidiaries, BitNile
recommends that stockholders, investors, and any other interested
parties read BitNile’s public filings and press releases available
under the Investor Relations section at www.BitNile.com or
available at www.sec.gov.
About BitNile Holdings, Inc.
BitNile Holdings, Inc. is a diversified holding company pursuing
growth by acquiring undervalued businesses and disruptive
technologies with a global impact. Through its wholly and
majority-owned subsidiaries and strategic investments, BitNile owns
and operates a data center at which it mines Bitcoin and provides
mission-critical products that support a diverse range of
industries, including oil exploration, defense/aerospace,
industrial, automotive, medical/biopharma, consumer electronics,
hotel operations and textiles. In addition, BitNile extends credit
to select entrepreneurial businesses through a licensed lending
subsidiary. BitNile’s headquarters are located at 11411 Southern
Highlands Parkway, Suite 240, Las Vegas, NV 89141;
www.BitNile.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements generally include
statements that are predictive in nature and depend upon or refer
to future events or conditions, and include words such as
“believes,” “plans,” “anticipates,” “projects,” “estimates,”
“expects,” “intends,” “strategy,” “future,” “opportunity,” “may,”
“will,” “should,” “could,” “potential,” or similar expressions.
Statements that are not historical facts are forward-looking
statements. Forward-looking statements are based on current beliefs
and assumptions that are subject to risks and uncertainties.
Forward-looking statements speak only as of the date they are made,
and the Company undertakes no obligation to update any of them
publicly in light of new information or future events. Actual
results could differ materially from those contained in any
forward-looking statement as a result of various factors. More
information, including potential risk factors, that could affect
the Company’s business and financial results are included in the
Company’s filings with the U.S. Securities and Exchange Commission,
including, but not limited to, the Company’s Forms 10-K, 10-Q and
8-K. All filings are available at www.sec.gov and on the Company’s
website at www.BitNile.com.
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BitNile Holdings Investor Contact: IR@BitNile.com or
1-888-753-2235
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