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goeasy Ltd. (TSX:GSY), (
goeasy or the
Company ), a leading full-service provider of goods and alternative financial services, announced today that it has completed the establishment of a new $200 million revolving securitization warehouse facility (the
Securitization Facility ), structured and underwritten by National Bank Financial Markets.
The Securitization Facility, which will be collateralized by consumer loans originated by goeasy s wholly owned subsidiary, easyfinancial Services Inc., will have an initial term of three years and interest on advances will be payable at the rate of 1-month CDOR (Canadian Dollar Offered Rate) plus 295 bps. Based on the current 1-month CDOR rate of 0.47% as of December 9, 2020, the interest rate would be 3.42%. The Company also intends to establish an interest rate swap agreement to generate fixed rate payments on the amounts drawn and mitigate the impact of interest rate volatility. Proceeds from the Securitization Facility w