- Liquor wholesaler Diamond Estates Wines & Spirits (DWS) has obtained a new C$2.75 million loan in partnership with the Bank of Montreal
- The company obtained the loan through the federal program offered by state-owned Export Development Corporation.
- The loan facility extends to July 1, 2022 and has an interest rate of 1.25 per cent
- The company has stated it intends to use the funds to support future growth
- Diamond Estates Wines & Spirits (DWS) is currently down 3.85 per cent and is trading at 12 cents per share
Liquor wholesaler Diamond Estates Wines & Spirits (DWS) has obtained a new C$2.75 million loan in partnership with the Bank of Montreal.
The company obtained the loan through the federal program offered by Export Development Corporation. The loan facility extends to July 1, 2022 and has an interest rate of 1.25 per cent
80 per cent of the loan has been guaranteed by the state-owned Export Development Corporation, a part of an initiative to incentives to support Canadian international trade.
Murray Souter, Diamond’s Chief Executive Officer commented on the company’s new influx of cash.
“We are very pleased with the BCAP Loan and appreciative of both the strong support and relationship that we enjoy with BMO and also want to thank both the EDC and the government for the introduction of the BCAP loan program.
“As our business evolves during these challenging times, the BCAP loan will give us access to increased working capital resources as we look to take advantage of new and existing opportunities in our industry,” he said.
The company intends to use the funds to support future growth, following its difficult year to date on the market. Back in March, Diamond Estates’ share price more than halved as the onset of COVID-19 brought global trading crashing down.
While the company’s shares have staged somewhat of a recovery since then, the price per share is still trading in the low teens, after starting the year at around 22 cents each.
Diamond Estates Wines & Spirits (DWS) is currently down 3.85 per cent and is trading at 12 cents per share at 12:01pm EDT.