By Chris Wack

 

Natuzzi SpA said Friday it has renewed its accounts-receivables securitization facility with an affiliate of Intesa Sanpaolo SpA for an additional 5-year period.

The company said it originally entered into the securitization facility in July 2015, and the new facility allows it to assign trade receivables to Intesa Sanpaolo for a maximum amount of 40 million euros ($46.4 million) on a revolving basis and maintaining only a limited risk in the assigned trade receivable, in exchange for short-term credit.

Natuzzi said the facility continues to provide it with an important and stable source of liquidity. Notably, the company is entitled to assign a wider range of trade receivables, thus adding flexibility to its funding capacity.

Natuzzi Group shares were up 90%, to $2.20, in premarket trading.

 

Write to Chris Wack at chris.wack@wsj.com

 

(END) Dow Jones Newswires

July 24, 2020 09:09 ET (13:09 GMT)

Copyright (c) 2020 Dow Jones & Company, Inc.
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