NoviqTech has secured a one-year extension on its $1.4 million unsecured loan facility, maintaining favourable terms to support its push for ASX reinstatement.
- Loan facility maturity extended to April 2028
- Facility remains revolving, unsecured, and fully available
- Interest rate steady at 5% per annum
- No additional cost to NoviqTech for extension
- Supports non-dilutive funding amid ASX reinstatement efforts
Loan Facility Extended to 2028
NoviqTech Limited (ASX:NVQ) has pushed back the maturity date of its $1.4 million loan facility by one year, moving the sunset from 1 April 2027 to 1 April 2028. The extension comes via a deed of variation with Copeak Pty Ltd, an entity controlled by NoviqTech’s non-executive director Niv Dagan. This move secures the company’s access to committed funding as it navigates the path to reinstatement on the ASX.
Unchanged Terms Preserve Funding Flexibility
The facility remains revolving and unsecured, with the full $1.4 million immediately available for drawdown. Interest on drawn amounts holds steady at 5% per annum, a rate unchanged from the original agreement. The deed also clarifies drawdown, repayment, and default provisions to reinforce the facility’s committed availability. Notably, NoviqTech did not provide any additional consideration or benefits to Copeak in exchange for these extended terms.
Strategic Backing for ASX Reinstatement
The extension is framed as a strategic enabler, with NoviqTech’s non-interested directors deeming the variation in the company’s best interests. The facility offers a non-dilutive funding source, critical as NoviqTech pursues reinstatement to trading on the ASX. This financing arrangement complements the company’s ongoing efforts to streamline operations and focus on its core biochar carbon removal business, a pivot that has been in motion since mid-2026.
Funding Amid Strategic Reshaping
This extension arrives in the wake of NoviqTech’s divestment of software assets to accelerate its biochar projects, a move designed to reduce cash burn and sharpen focus on carbon removal initiatives. The loan facility’s flexibility and commitment provide a financial cushion during this transition, reflecting a cautious approach to capital management amid evolving business priorities.
Bottom Line?
NoviqTech’s loan extension strengthens its liquidity runway without diluting shareholders, but the company’s broader ASX reinstatement and strategic shifts remain key watchpoints.
Questions in the middle?
- Will NoviqTech secure ASX reinstatement within the extended loan term?
- How will this facility interact with other funding sources amid operational pivots?
- What milestones must NoviqTech achieve to leverage this facility fully?