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Anyone in finance know about ELOCs (not housing)? Anyone in finance know about ELOCs (not housing)?

10-27-2010 , 12:23 PM
I'm looking at a couple of term sheets for prelisting (OTCBB) commitments, both are for $5.0M. One is a NY based PE firm and another is Cayman based. I checked the latter and they are real, but I'm wondering if there are any issues I should be aware of when dealing with a foreign based co.?

Both are standard ELOCs, with a 5 day pricing period, etc. The difference is:
- U.S. co. is a 5% commitment fee vs 2% on initial draw down.
- U.S. co. wants 5% of facility amount in restricted shares

In before check with your securities attorney, that's going to be done. I'm just doing some checking before hand. In other words, every time they answer the phone there goes a big chunk of my retainer.
Anyone in finance know about ELOCs (not housing)? Quote

      
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