Micropolis Corp. Gets Loan, Revolving Credit

Micropolis Corp., an ailing Chatsworth maker of computer data-storage equipment, said it reached an agreement with its lenders for $33 million of credit that is secured by the company's assets.

The agreement consists of a $3-million term loan and $30 million of revolving credit. Micropolis already has used $10.5 million under the new agreement to repay bank debt. The balance will be used for working capital as needed.

The loan agreement has a floating interest rate equal to 2 1/2 points above the bank's prime, or base lending rate, and is for one year, with provisions to extend it for an additional year, Micropolis said.

Copyright © 2019, Los Angeles Times
EDITION: California | U.S. & World