TOKYO, May 08 (Pulse News Wire) – Lilycolor CO.,LTD. (9827.T) has concluded a syndicated loan agreement with a financial covenant effective March 27, 2026.
The agreement was established to ensure flexible and stable funding options amid potential economic changes. The loan agreement involves a commitment line totaling ¥2 billion. It includes a term of one year, extendable up to two times for another year each upon meeting certain conditions. The interest rate is set at TIBOR plus spread, with Sumitomo Mitsui Banking Corporation acting as both arranger and agent.
Under the financial covenant, Lilycolor is committed to maintaining its net assets at or above 75% of either the fiscal year ended December 2024 or the latest available balance sheet figures. Additionally, the company must avoid reporting negative ordinary income in its profit and loss statement. Looking ahead, the impact on the company's full-year performance for the fiscal year ending December 2026 is expected to be minor. However, Lilycolor will promptly disclose any significant developments related to this agreement.
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