TZ (ASX:TZL) entered into a binding agreement to acquire Keyvision Holdings for a total acquisition price of up to AU$10 million, subject to shareholder approvals, according to a Tuesday Australian bourse filing.
The acquisition price will be paid over four years, contingent on the tenant engagement platform achieving agreed revenue and growth milestones.
The deal will be funded through a AU$4 million senior secured debt facility provided by Causeway Finance. The facility will carry an interest rate of 12% per annum and a loan term will be fully repayable by March 31, 2027.
It will use AU$1.3 million of the facility to repay existing debt with First Samuel, taking TZ's total debt to AU$5.5 million. Salter Brothers and PAC Partners operated as joint lead managers on the advisory of the debt facility.
Keyvision principal, Mark Davis, and his senior management will acquire 9.5% of TZ shares from First Samuel.
The firm's shares rose 12% on market close on Tuesday.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.