This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

CRAiLAR And IKEA Complete General Supply Agreement And CA$3.2 Million Of Financing

Stocks in this article: CL CRLRF

PORTLAND, OR, Dec. 19, 2013 /PRNewswire/ - CRAiLAR Technologies Inc. (TSXV: CL) (OTCQB: CRLRF), which produces and markets CRAiLAR® Flax fiber The Friendliest Fiber On The Planetâ„¢, today announced that it has completed a General Supply Agreement and CA$3.2 million of financing with Ikea. IKEA has extended the Company a €2.2 million (CA$3.2 million), 30 month, 1.9% fixed rate loan ("Loan") designated for the installation of equipment to support and expand CRAiLAR's European production facility and working capital for IKEA orders. The Loan is to be secured by assets purchased with the proceeds as well as a portion of the secured assets used to secure the July 26, 2013 10% secured convertible debentures.

The IKEA General Supply Agreement provides for exclusivity in certain domestic textiles categories and requires minimum order quantities through 2019.  CRAiLAR has already received orders and has begun flax fiber production for IKEA at its European production facility.

" A robust commercialization agreement together with financing from an iconic global customer is a major step for CRAiLAR as a brand, manufacturer and supplier" said Ken Barker, CEO. "We are very proud and humbled by this vote of confidence, and are excited to begin delivering CRAiLAR Flax fiber to consumers globally, while working with the largest home furnishings retailer in the world."

The Company has agreed to amend, in exchange for the release of secured assets, the conversion terms of its July 26, 2013 10.0% secured, subordinated convertible debentures (the "Debentures"); in the principal amount of $3,535,000; such that, at the holder's option, the Debentures may now be converted into common shares in the capital of the Company at $1.25 instead of $2.00 per Share.

Each of the proposed Loan and amended Debentures is subject to definitive documentation and TSX Venture Exchange approval prior to the completion thereof.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs