via NewMediaWire --
NextPlay Technologies,
Inc. (Nasdaq: NXTP), a digital native ecosystem for
finance, digital advertisers, and video gamers, announced today
that NextBank International, Inc. (“NextBank”), the
international banking unit of NextPlay’s fintech division, has
signed a Loan and Security Agreement with Savi Capital Partners, a
Delaware Limited Liability Company, for a $200,000,000 revolving
line of credit facility with maturity set for May 31, 2027.
Todd Bonner, chairman of the board of directors of NextPlay
Technologies and head of the company’s fintech division, stated:
"We are pleased to complete this credit facility with Savi Capital,
which illustrates our ability to access alternative forms of
capital, providing us with further financial flexibility to grow
NextBank’s business lines. We remain committed to scaling our
online banking, growing our customer base and footprint, and
expanding our loan processing and servicing businesses. We are
executing against our strategic objectives."
Under the terms of the agreement, maximum loan amounts available
for NextBank draw down and use are:(a) from November 15,
2022, through December 14, 2022, $30,000,000(b) from
December 15, 2022, through January 14, 2023,
$70,000,000(c) from January 15, 2023, through February
14, 2023, $100,000,000(d) from February 15, 2023, through
March 14, 2023, $150,000,000(e) from March 15, 2023,
through Maturity May 31, 2027, up to the full commitment amount of
$200,000,000
Proceeds drawn from the revolving line of credit facility by
NextBank will be used to fund loans secured by domestic US
commercial real estate properties in accordance with underwriting
guidelines established by NextBank. These loans will generate
interest spread and fee income, increasing the bank’s loan
portfolio, and are expected to favorably impact revenues and
cashflows at the bank.
Nithinan Boonyawattanapisut, NextPlay’s Principal Executive
Officer, added: “We are appreciative that Savi Capital Partners
selected NextBank as a partner and extended the ability of the bank
to greatly expand and diversify its loan portfolio. NextBank is
seeing considerable growth in its deposit portfolio, and I expect
that to accelerate in terms of absolute dollars. The Bank has a
backlog of corporate depositors in the 'Know Your Customer' and
'Anti-Money Laundering' Compliance Review process
for onboarding. This $200 million line of credit, combined
with NextBank’s growth in customer deposits, should have a material
impact on the bank’s yielding asset portfolio over the next three
quarters. We are targeting between US $100 million and $150 million
in deposits and US $200 million in credit availability by the end
of the company’s fiscal 4Q, which, combined, should result in a
profitable operation overall. This growth and outlook are
attracting investors and other strategic partners to NextPlay’s
fintech division, and we are actively vetting partners and
investors.
“Additionally, we plan to deploy NextBank’s B to C service and
begin global marketing for that in the spring of 2023.
“I would also like to recognize our NextFintech division
executive team navigating a way to grow NextPlay’s portfolio during
this difficult market, better vectoring the company to achieve
profitability.”
Further information regarding the $200,000,000 Revolving Credit
Note can be found on Form 8-K and the company’s
filings with the Securities and Exchange Commission (SEC),
available at www.sec.gov.
About NextPlay Technologies NextPlay
Technologies, Inc. (Nasdaq: NXTP) is a technology solutions company
offering games, in-game advertising, banking, and crypto-banking
services to consumers and corporations within a growing worldwide
digital ecosystem. NextPlay’s engaging products and services
utilize innovative AdTech, Artificial Intelligence and Fintech
solutions to leverage the strengths and channels of its existing
and acquired technologies. For more information about NextPlay
Technologies, visit www.nextplaytechnologies.com and
follow us on Twitter @NextPlayTech and LinkedIn.
Forward-Looking StatementsThis press release
includes “forward-looking statements” within the meaning of, and
within the safe harbor provided by the Safe Harbor Provisions of
the Private Securities Litigation Reform Act of 1995, Section 27A
of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking
statements give our current expectations, opinions, belief or
forecasts of future events and performance. A statement identified
by the use of forward-looking words including “will,” “may,”
“expects,” “projects,” “anticipates,” “plans,” “believes,”
“estimate,” “should,” and certain of the other foregoing statements
may be deemed forward-looking statements. Although the Company
believes that the expectations reflected in such forward-looking
statements are reasonable, these statements involve risks and
uncertainties that may cause actual future activities and results
to be materially different from those suggested or described in
this news release. Factors that may cause such a difference include
risks and uncertainties including, and not limited to, our need for
additional capital which may not be available on commercially
acceptable terms, if at all, which raises questions about our
ability to continue as a going concern; current regulation
governing digital currency activity is often unclear and is
evolving; our and ABCC’s ability to secure all necessary regulatory
approvals to expand the partnership to its fullest, and intended,
potential; the future development and growth of digital currencies
are subject to a variety of factors that are difficult to predict
and evaluate, many of which are out of our control; the value of
digital currency is volatile; amounts owed to us by third parties
which may not be paid timely, if at all; certain amounts we owe
under outstanding indebtedness, which are secured by substantially
all of our assets and penalties we may incur in connection
therewith; the fact that we have significant indebtedness, which
could adversely affect our business and financial condition;
uncertainty and illiquidity in credit and capital markets which may
impair our ability to obtain credit and financing on acceptable
terms and may adversely affect the financial strength of our
business partners; the officers and directors of the Company have
the ability to exercise significant influence over the Company;
stockholders may be diluted significantly through our efforts to
obtain financing, satisfy obligations and complete acquisitions
through the issuance of additional shares of our common or
preferred stock; if we are unable to adapt to changes in
technology, our business could be harmed; if we do not adequately
protect our intellectual property, our ability to compete could be
impaired; our business is susceptible to risks associated with
international operations; unfavorable changes in, or
interpretations of, government regulations or taxation of the
evolving Internet and e-commerce industries, which could harm our
operating results; risks associated with the operations of, the
business of, and the regulation of, Longroot and NextBank
International (formerly IFEB); the market in which we participate
being highly competitive, and because of that we may be unable to
compete successfully with our current or future competitors; our
potential inability to adapt to changes in technology, which could
harm our business; the volatility of our stock price; and that we
have incurred significant losses to date and require additional
capital, which may not be available on commercially acceptable
terms, if at all. More information about the risks and
uncertainties faced by NextPlay are detailed from time to time in
NextPlay’s periodic reports filed with the SEC, including its most
recent Annual Report on Form 10-K and Quarterly Reports on Form
10-Q, under the headings “Risk Factors”. These reports are
available at www.sec.gov. Other unknown or unpredictable
factors also could have material adverse effects on the Company’s
future results and/or could cause our actual results and financial
condition to differ materially from those indicated in the
forward-looking statements. Investors are cautioned that any
forward-looking statements are not guarantees of future performance
and actual results or developments may differ materially from those
projected. The forward-looking statements in this press release are
made only as of the date hereof. The Company takes no obligation to
update or correct its own forward-looking statements, except as
required by law, or those prepared by fourth parties that are not
paid for by the Company. If we update one or more forward-looking
statements, no inference should be drawn that we will make
additional updates with respect to those or other forward-looking
statements.
SOURCE: NextPlay Technologies, Inc.
Company Contacts:NextPlay Technologies,
Inc.Richard MarshallDirector of Corporate DevelopmentTel:
(954)
888-9779Email: richard.marshall@nextplaytechnologies.com
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