LeddarTech Obtains Waiver Under Credit Facility
QUEBEC CITY, Canada, July 5, 2024 — LeddarTech Holdings Inc. (“LeddarTech” or the “Company”) (Nasdaq: LDTC), an automotive software company that provides patented disruptive AI-based low-level sensor fusion and perception software technology, LeddarVision™, for ADAS, AD and parking applications, announces it entered into a Ninth Amending Agreement (the “Waiver”) with Fédération des caisses Desjardins du Québec (“Desjardins”) with respect to the Amended and Restated Financing Offer dated as of April 5, 2023 (as amended, the “Desjardins Credit Facility”). Pursuant to the terms of the Desjardins Credit Facility, the Company is required to maintain an unencumbered cash balance of at least C$5.0 million (the “Minimum Cash Covenant”). Pursuant to the Waiver, among other things, Desjardins has temporarily reduced the required Minimum Cash Covenant to C$3.5 million from July 5, 2024 through July 6, 2024, and to C$1.8 million from July 7, 2024 through July 26, 2024, after which time the Company will again be obligated to maintain a minimum cash balance of C$5.0 million.
The foregoing description of the Waiver does not purport to be complete and is qualified in its entirety by reference to the Waiver, a copy of which has been filed under the Company’s SEDAR+ and EDGAR profiles at www.sedarplus.ca and www.sec.gov, respectively. The foregoing also should be read in conjunction with the disclosures set forth in the Company’s Annual Report on Form 20-F for the year ended September 30, 2023 as filed with the Securities and Exchange Commission and under the Company’s SEDAR+ profile on January 31, 2024, including the disclosures set forth under “Item 3.D – Key Information – Risk Factors” contained therein.
Additionally, the Company has received indications of interest from several of its principal shareholders to invest an aggregate of up to US$9.7 million in the Company, subject to certain conditions to be agreed upon, including the Company raising an amount of outside capital through a proposed financing transaction (the “Financing Transaction”). Because indications of interest are not binding agreements or commitments to purchase, there can be no assurance that such existing shareholders will invest their full indication of interest, or any amount at all, in the Financing Transaction, or that the Company will successfully complete the Financing Transaction in an amount sufficient to meet the conditions to be established for any such investment by such existing shareholders, or at all. Any debt or equity securities to be offered and sold in the Financing Transaction may not be registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission or an applicable exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in the Financing Transaction, nor shall there be any sale of such securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.
About LeddarTech
A global software company founded in 2007 and headquartered in Quebec City with additional R&D centers in Montreal and Tel Aviv, Israel, LeddarTech develops and provides comprehensive AI-based low-level sensor fusion and perception software solutions that enable the deployment of ADAS, autonomous driving (AD) and parking applications. LeddarTech’s automotive-grade software applies advanced AI and computer vision algorithms to generate accurate 3D models of the environment to achieve better decision making and safer navigation. This high-performance, scalable, cost-effective technology is available to OEMs and Tier 1-2 suppliers to efficiently implement automotive and off-road vehicle ADAS solutions.
LeddarTech is responsible for several remote-sensing innovations, with over 150 patent applications (80 granted) that enhance ADAS, AD and parking capabilities. Better awareness around the vehicle is critical in making global mobility safer, more efficient, sustainable and affordable: this is what drives LeddarTech to seek to become the most widely adopted sensor fusion and perception software solution.
Additional information about LeddarTech is accessible at www.LeddarTech.com and on LinkedIn, Twitter (X), Facebook and YouTube.