Alto Ingredients Inc (ALTO)

[ID Supermoney]

No conditions from the credit facility allow only so much more loans!!

Reason why they can ONLY borrow $7 million! And not another say $15 million!!

The Restated Credit Agreement Amendment also increases to $24.0 million from $14.0 million the level of permitted indebtedness, including capital lease liabilities, that may be incurred for yield enhancing equipment or processing and separation equipment for corn oil and corn syrup at the Company’s ethanol production facilities. For clarity, the additional $10.0 million in permitted indebtedness does not itself represent amounts available for borrowing under the Restated Credit Agreement, as amended. The Restated Credit Agreement Amendment also includes extensive provisions to adjust the terms of the Restated Credit Agreement to take into account a restart of the Company’s Madera, California facility. The Restated Credit Agreement Amendment contains numerous customary acknowledgements, representations and warranties and other customary terms and conditions.

So there is a cap to how much more they can borrow!!


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