Australia's SiteMinder falls on losing credit facility after SVB collapse

SiteMinder

13/03/2023 01:07

** Shares of cloud-based platform provider SiteMinder Ltd
 SDR.AX  fall as much as 7.4% to A$3.500, their lowest since
Jan. 23
    ** Co says its exposure to the collapsed Silicon Valley Bank
(SVB) and its unit SVB UK consisted of up to A$10 mln ($6.63
mln) cash holdings and an undrawn US$20 mln revolving credit
facility
    ** SSR joins other Australia and New Zealand-based tech cos
in announcing the impact of startup-focused lender SVB Financial
Group  SIVB.O  collapse on Friday
    ** Analysts at RBC says the loss of SDR's credit facility
has the largest impact on its available liquidity
    ** RBC, however, believes SDR should have little issues
replacing, or even upsizing, this credit facility
    ** Co adds together with cost-out programme announced in
January, it has adequate liquidity to deliver on guidance to be
free cash flow neutral by Q4 FY24 on a quarterly basis
    ** As of last close, stock up 24.3% this year


($1 = 1.5085 Australian dollars)

 (Reporting by Himanshi Akhand in Bengaluru)
 ((Himanshi.Akhand@thomsonreuters.com;))