BRIDGEWATER, N.J., Oct. 08, 2019 (GLOBE NEWSWIRE) -- Synchronoss Technologies, Inc. (NASDAQ: SNCR), a global leader and innovator of cloud, messaging, digital and IoT products, today announced that it has secured two working capital facilities to provide additional liquidity and flexibility as it continues to execute its growth objectives.
The company has closed on a three-year $10 million senior secured line of credit with Citizens Bank N.A. The proceeds of the line of credit will be used for general corporate purposes.
The company has also entered a Supply Chain Financing program with Citibank N.A. The program enables the company to accelerate cash collections by selling receivables to Citibank on a non-recourse basis. The discount on the receivable sale is based on the strong credit ratings of our customers. Receivables from key customers will be included in the Citibank program, which is expected to provide, on average, between $15 million and $20 million of additional liquidity for the company.
David Clark, Chief Financial Officer, stated, “We are very pleased partnering with Citizens Financial Group, one of the nation’s oldest and largest financial institutions, to provide us with an initial line of credit and building a trusted relationship for future financing needs at Synchronoss. The facilities announced today give us additional financial flexibility as we continue to move forward and grow our business. Together, they are expected to total approximately $25 million to $30 million, which supplements our cash balances and the cash-generating ability of the company.”
About Synchronoss Technologies, Inc.
Synchronoss transforms the way companies create new revenue, reduce costs and delight their subscribers with cloud, messaging, digital and IoT products, supporting hundreds of millions of subscribers across the globe. Synchronoss’ secure, scalable and groundbreaking new technologies, trusted partnerships, and talented people change the way TMT customers grow their businesses. For more information, visit us at www.synchronoss.com.
