Autagco (SGX:1D3), formerly LifeBrandz Ltd, has entered a third loan agreement with its controlling shareholder, Aurico Global Holdings, for a facility of up to SG$1.0 million to support business expansion and working capital needs, according to a Monday filing on the Singapore Exchange.
The agreement allows drawdowns in tranches of up to SG$250,000 each, with a 2.8% annual interest rate over a 24-month term. The loan follows amendments to a prior agreement with the lender, reducing the interest rate to 2.8% from 5%.
Aurico Global owns 27.92% of Autagco's issued share capital. Executive Chairman Ng Boon Hui, also a director of Aurico Global, holds a 70% stake in the lender.
The company rationalized the financing by citing a net current liability position of SG$1.7 million as of July 31, 2024.
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