Continental Home Healthcare: Letter of Intent With DVI Business Credit.VANCOUVER, British Columbia--(BUSINESS WIRE)--June 30, 1999-- Home Healthcare (VSE See DOS/VSE. VSE - Virtual Storage Extended :CHT CHT Chart CHT Center for Health Transformation (Washington, DC) CHT Chittagong Hill Tracts (Bangladesh region) CHT Certified Hypnotherapist CHT Cylinder Head Temperature CHT Certified Hand Therapist .) Continental Home Healthcare Ltd. (the "Company") is pleased to announce that the Company has signed a letter of intent with DVI Business Credit ("DVI") for a revolving line of credit Revolving line of credit A bank line of credit on which the customer pays a commitment fee and can take and repay funds at will. Normally a revolving LOC involves a firm commitment from the bank for a period of several years. with a total commitment amount of US $3.0 million. DVI is an asset-based lender that specializes in healthcare financing. The revolving line of credit contemplated will be advanced to the Company based on eligible accounts receivable as defined in the proposed lending agreement. Final approval of the agreement is subject to DVI's due diligence and credit committee approval. The Company's accounts receivable balance at March 31, 1999 was CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. $5.2 million. Management is extremely pleased to enter into this agreement with DVI after negotiating terms with six potential financing entities. Management has been working very hard to impose a financing structure which would supply the Company with the funding necessary to continue its acquisition strategy, while at the same time being entirely non-dilutive to shareholders. Management is confident that a definitive agreement will be reached and that funding can be attained in approximately six weeks. Upon completion, Management anticipates that up to US $1.0 will be dedicated to working capital and the remaining funding will be allocated for completing acquisitions. Continental Home Healthcare Ltd. is a provider of durable and home medical equipment to individuals and healthcare institutions with branches in Glendale and Indian Wells, California Indian Wells is a city in Riverside County, California, in the Coachella Valley (Palm Springs area), in between Palm Desert and La Quinta. As of the 2000 census, the city population was 3,816. It has the highest proportion of millionaires of any city in the United States. ; Las Vegas, Nevada; and British Columbia, Canada. On Behalf of the Board Robert Thornton, Chief Executive Officer The Vancouver Stock Exchange Vancouver Stock Exchange (VSE) A securities and options exchange in Vancouver, British Columbia, (Canada), specializing in venture capital companies. Vancouver Stock Exchange See Canadian Venture Exchange (CDNX). has neither approved nor disapproved the contents contained herein. |
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