IRT Corp. said it has signed a...

IRT Corp. said it has signed a letter of intent with an investor group for a private financing arrangement that could raise $3 million to $4 million for the company through the sale of convertible preferred stock. The investor group is led by Euro-American-I LP of Menlo Park. The deal is contingent on the company renegotiating its existing banking arrangements with Sanwa Bank and Citicorp.

“While preliminary indications from both Citicorp and Sanwa Bank are encouraging, there can be no present assurances that the existing bank credit agreements can be successfully renegotiated to the satisfaction of the investor group,” the company said in a statement.