MoneyOnMobile Announces $3.75 Million Expanded Credit Facility from Yes! Bank
New credit expansion expected to increase domestic remittance processing volume
Tuesday, May 9, 2017 — MoneyOnMobile, Inc. announced today an agreement pursuant to which YES! Bank has agreed to increase the Company's secured credit facility to $3.75 million( USD) from $1.5 million (USD). The Company was originally issued the credit facility in December 2016, and, through increased domestic remittance processing volume and general business growth, was able to secure the increased facility. Domestic digital cash remittances from person to person remain a cornerstone of MoneyOnMobile’s revenue generating services.
“The proceeds from the original credit facility allowed us to serve the strong demand for domestic, person-to-person cash remittances that we are seeing in India, as evidenced by a 71% increase in the number of domestic remittance transactions from January 2017 to April 2017. We believe the demand for cash to digital services continues to be strong, and this expanded line of credit will allow our merchants to take on even more domestic remittance transactions,” said Harold Montgomery, Chairman and CEO of MoneyOnMobile. “The increase in our line of credit also speaks to management's commitment to using non-dilutive capital whenever possible to preserve and build shareholder equity.”