QuickLogic Corporation (NASDAQ:QUIK) Files An 8-K Entry into a Material Definitive AgreementItem 1.01Entry into a Material Definitive Agreement.
On September 28, 2018 (the “Closing Date”), QuickLogic Corporation (the “Company”) entered into a Loan and Security
Agreement (the "Agreement") with Heritage Bank of Commerce (the "Bank"). The Agreement provided for, among other things, a revolving credit facility with aggregate commitments of $9,000,000 (the “Revolving Facility”). The maturity date for loans under the Revolving Facility is September 28, 2020. Loans under the Revolving Facility will bear interest at a rate equal to one half of one percentage point (0.50%) above the variable rate of interest, per annum, that appears in The Wall Street Journal from time to time, whether or not such announced rate is the lowest rate available from Bank.
Financial covenants of the Revolving Facility require the Company to (i) maintain at all times a balance of unrestricted
cash in its pledged account not less than the principal amount of all advances owing to the Bank and (ii) maintain at all times, but subject to periodic reporting as of the last day of each quarter a Remaining Months Liquidity not less than nine (9). For purposes of the Revolving Facility, “Remaining Months Liquidity” means (i) unrestricted cash maintained at Bank (including cash in the Company’s pledged account) minus the outstanding principal amount of the cash advances under the Revolving Facility, divided by (ii) average trailing three (3) month EBITDA. These covenants and restrictions also limit the Company’s ability to incur additional indebtedness, merge, consolidate or sell all or substantially all of its assets and enter into transactions with affiliates.
The foregoing description of the Agreement does not purport to be complete and is qualified in its entirety by reference to the Agreement, a copy of which is attached as Exhibit 10.1 hereto.
Item 1.01 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
The information set forth above in Item 1.01 is incorporated by reference herein.
Section9Financial Statements and Exhibits
Item 1.01(d) Exhibits.
QUICKLOGIC CORPORATION ExhibitEX-10.1 2 quik-ex101_6.htm EX-10.1 quik-ex101_6.htm Exhibit 10.1 Quicklogic Corporation HERITAGE BANK OF COMMERCE LOAN AND SECURITY AGREEMENT This Loan And Security Agreement is entered into as of September 28,…To view the full exhibit click
About QuickLogic Corporation (NASDAQ:QUIK)
QuickLogic Corporation develops and markets semiconductor and software algorithm solutions. The Company’s solutions primarily target smartphones, wearable devices, tablets, and the Internet-of-Things (IoT). The Company is a fabless semiconductor provider of flexible sensor processing solutions, ultra-low power display bridges, and ultra-low power Field Programmable Gate Arrays (FPGAs). The Company’s solutions integrate multi-core processing, programmable logic, sensor fusion and context aware algorithms, and embedded software. The Company’s solutions are created from its new silicon platforms, including EOS, ArcticLink III, PolarPro 3, PolarPro II, PolarPro, and Eclipse II products, its mature products, which are produced on semiconductor processes over 180 nanometers, primarily include its pASIC 3 and QuickRAM, as well as royalty revenue, programming hardware and design software. Its sensor algorithm software includes SenseMe software library.