Pinetree Capital Ltd. Announces Line Of Credit
December 15, 2008
TORONTO, Canada (December 15, 2008) – Pinetree Capital Ltd. (TSX: PNP), is pleased to announce that it has arranged a one-year fixed term secured standby line of credit for $25 million (the “Line”), provided by its Chief Executive Officer,
Sheldon Inwentash. The Line bears interest at a rate of 1% per month on amounts drawn, has a standby fee of 0.25% per annum on any unused portion and is secured by the Company’s assets (subordinate to existing creditors). The maximum amount of the Line may be reduced at any time in the Company’s sole discretion.
The Line replaces an existing demand credit facility provided by Mr. Inwentash. The balance of approximately $22 million outstanding under the demand facility has been transferred to the Line.
“I am pleased to provide continued support to Pinetree so that we remain strong through these challenging economic times”, stated
Sheldon Inwentash, CEO. “This facility provides Pinetree with guaranteed access to credit at reasonable terms, which will allow us to continue to pursue opportunities as they arise”, stated Larry Goldberg, Pinetree’s Executive Vice President and Chief Financial Officer. “Access to credit is still very constrained and we are pleased to have this facility in place.”
Pinetree Capital Ltd. ("Pinetree") was incorporated under the laws of the
Ontario and its shares are publicly-traded on the Toronto Stock Exchange (“TSX”) under the symbol “PNP”. Pinetree is a diversified investment and merchant banking firm focused on the small cap market. Pinetree’s investments are primarily in the resources sector: Uranium, Oil & Gas, Molybdenum, Precious Metals, Potash and Rare Earths, and Base Metals. Pinetree’s investment approach is to develop a macro view of a sector, build a position consistent with the view by identifying micro-cap opportunities within that sector, and devise an exit strategy designed to maximize our relative return in light of changing fundamentals and opportunities.
For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com
Executive Vice President and Chief Financial Officer
Pinetree Capital Ltd.
130 King Street West, Suite 2500
Toronto, Ontario, Canada, M5X 1A9
Web Site: www.pinetreecapital.com