Aterian reaches agreement with lender to repay its term
NEW YORK, September 23, 2021 (GLOBE NEWSWIRE) – Aterian, Inc. (Nasdaq: ATER) (âAterianâ or the âCompanyâ) today announced that it has reached an agreement with its lender, High Trail, to pay reduce its outstanding secured term debt in the aggregate principal amount of $ 66.3 million plus accrued and unpaid interest, which amount will be paid in common shares of the Company in accordance with the terms of the notes evidencing such debt. The remaining term debt of $ 25.0 million will now mature in April 2023 and all financial covenants have been restructured.
“I am delighted to share with our shareholders that Aterian has reached an agreement with its lender to meet the majority of its outstanding term debt and has made significant progress in reducing its container shipping costs with the support of various strategic maritime partners. These are two important steps that should strengthen our balance sheet and cash flow going forward and enable Aterian to create a capital structure optimized for growth and profitability in 2022 â, said Yaniv Sarig, co-founder and CEO from Aterian. âDespite the residual risk of unpredictable COVID-related disruptions, we now see a clearer path to pursue our M&A strategy. We are more optimistic than ever that, on the other side of this global supply chain crisis, we will be well positioned to implement the vision of building the leading consumer products platform. “
About Aterian, Inc.
Aterian, Inc. (Nasdaq: ATER), is a leading technology-based consumer product platform that creates, acquires, and partners with leading e-commerce brands by leveraging proprietary software and a chain of agile sourcing to create the best-selling consumers. some products. The company’s cloud-based platform, Artificial Intelligence Marketplace Ecommerce Engine (AIMEE â¢), leverages machine learning, natural language processing, and data analytics to streamline the management of large-scale products on the market. largest online marketplaces in the world, including Amazon, Shopify, and Walmart. Aterian has thousands of SKUs in 14 owned and operated brands and sells products in multiple categories, including home and kitchen appliances, health and wellness, beauty, and consumer electronics.
All statements other than statements of historical fact included in this press release that deal with activities, events or developments that we anticipate, believe or anticipate will occur or may occur in the future are forward-looking statements, including, in particular, statements regarding the planned issuance of shares to High Trail and the settlement of the related term debt; reduce container shipping costs and support from shipping partners; strengthening Aterian’s balance sheet and cash flow; Aterian’s capital structure and any potential optimization of growth and profitability; Aterian’s M&A strategy and Aterian’s vision to build the premier consumer products platform. These forward-looking statements are based on management’s current expectations and beliefs and are subject to uncertainties and factors, all of which are difficult to predict and many of which are beyond our control and could cause actual results to differ. materially and unfavorably from those described in forward-looking statements. These risks include, but are not limited to: those related to the global shipping crisis, our ability to continue operating, our ability to create operational leverage and efficiency when integrating the businesses we acquire, including through the use of our team’s expertise, the economies of scale of our supply chain and the automation driven by our platform; those related to our ability to expand internationally and through the launch of products under our brands and the acquisition of additional brands; those related to the impact of COVID-19, including its impact on consumer demand, our cash flow, our financial position and the rate of revenue growth; our supply chain, including sourcing, manufacturing, warehousing and order fulfillment; our ability to effectively manage expenses, working capital (including for PPE products) and capital expenditures; our business model and technological platform; our ability to disrupt the consumer products industry; our ability to increase our market share in existing and new product categories, including PPE; our ability to generate profitability and shareholder value; international tariffs and trade measures; inventory management, product liability claims, recalls or other safety and regulatory issues; the use of third-party online marketplaces; seasonal and quarterly variations in our sales; acquisitions of other companies and technologies, our ability to continue to access debt and equity capital (including on terms favorable to the Company) and the extent of our leverage and other factors discussed in the “Risk Factors” section of our most recent periodic reports filed with the Securities and Exchange Commission (“SEC”), which you can obtain free of charge from the SEC’s website at www.sec.gov.
Although we believe that the expectations reflected in our forward-looking statements are reasonable, we do not know whether our expectations will prove to be correct. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, even if they are subsequently made available by us on our website or otherwise. We assume no obligation to update, modify or clarify these forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under securities laws. applicable movable property.
Director of Investor Relations & Corporate Development