Aterian (ATER) signs $ 50 million asset-backed credit facility with MidCap Financial Trust



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Aterian, Inc. (Nasdaq: ATER) has entered into an asset-backed credit facility with MidCap Financial Trust, which is managed by a subsidiary of Apollo Global Management, Inc. The credit facility has a term of three years and gives Access to Aterian of up to $ 50 million in total credit, consisting of $ 40 million of commitments with an accordion facility of an additional $ 10 million. At closing, Aterian repaid in cash and fulfilled all outstanding obligations under its existing $ 25.0 million term loan with High Trail.

Aterian Chairman and CEO Yaniv Sarig said, “This credit facility is a testament to MidCap’s understanding of our business, its strong e-commerce expertise and its commitment to supporting growth-oriented businesses. We are also pleased to announce that we have repaid our remaining loan to High Trail with the cash proceeds from the MidCap facility. Over the past five months, our team has worked tirelessly to remedy a difficult disruption to our business caused by the impact of the supply chain crisis on our shipping costs. We enter 2022 with a stronger balance sheet, preferential shipping rates from our logistics partners, and exciting new initiatives to resume organic and M&A-led growth. “

Garrett Fletcher, Product Head of Asset Based Lending at MidCap, said: “We know Aterian very well due to the financing of the company at an early stage of its development. We have confidence in the management team and are delighted that they have chosen to partner with us again as we look forward to continuing to support the growth and development of the business.


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