Sep 1 2009
Chai-Na-Ta Corp. (the "Company") (OTCBB:CCCFF), announced that the Board of Directors of the Company has approved the extension of a non-revolving term loan facility ("Loan") of HK$ 54.7 million (approximately CAD$7.7 million) offered by More Growth Finance Limited ("More Growth"), a company formally under common control. The Loan was originally established on August 18, 2006 as a four year term loan and is due to mature on August 18, 2010.
Under the terms of the extension, the Company will be required to repay HK$3.2 million by August 31, 2009, HK$3.3 million by August 31, 2010 and HK$16.7 million by August 31, 2011. The remaining balance of HK$31.5 million or its US dollar equivalent will be repaid in full by August 31, 2012. The unsecured Loan bears interest at 1.75% per annum over the HIBOR (Hong Kong Interbank Offered Rate) or LIBOR (London Interbank Offered Rate) effective September 1, 2009 through February 28, 2010 after which it will bear interest at a flat rate of 6.25% for the duration of the Loan.
http://www.chainata.com/