Inspire Investment gave the company an unlinked, interest-free bridge loan to finance a bond payment.
Ballistic armor maker Rabintex Industries Ltd. (TASE: RABN) has obtained a NIS 6 million loan from shareholder Inspire Investment Ltd. (TASE:INSP). The interest-free loan is not backed by any guarantees and is not linked to the Consumer Price Index (CPI). Rabintex's oversight committee and board of directors approved the deal.
The bridge loan will finance Rabintex's first payment on its Series 2 bonds, as part of a settlement with the bondholders.
Rabintex will repay the loan in full by July 15, or after a rights offering being considered by the company, whichever comes earlier.
Rabintex's share rose 4.9% by midday to NIS 3.81.
Published by Globes [online], Israel business news - www.globes-online.com - on May 27, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009