Dicker Data secures $20 million from Macquarie Bank

The finance facility will be used to purchase HP inventory and help fund future growth

Dicker Data has secured an agreement with Macquarie Bank for a new $20 million inventory purchase finance facility.

Under the agreement, the facility enables Dicker to purchase inventory from HP, which is its largest vendor. The arrangement was reached after a comprehensive review and analysis of Dicker’s requirements and to help raise additional working capital.

It will also enable Dicker to achieve greater flexibility in inventory purchases, including the opportunity to take greater advantage of early settlement discounts and complements the trade credit facility available to Dicker from HP.

It will also help fund future growth in Dicker’s revenues and inventories as well as return a significant portion of all generated profits to shareholders in accordance with the dividend policy.

According to the statement on the ASX, the facility may also be extended to include purchases from Dicker’s other vendors down the track.

At the time of publication, Dicker’s shares were trading at $0.84, a significant increase from its opening price of $0.21 in January 2011.

FILL IN THE SURVEY - AND YOU COULD BE A WINNER: ARN wants to hear from YOU. Tell us how you run a successful business and you could win an adrenaline-fuelled adventure of your choice. COMPLETE THE ARN SURVEY.

Tags Dicker DataMacquarie Bank

More about Dicker DataHPMacquarie Bank

ARN Directory | Distributors relevant to this article

ARN Directory | Vendors relevant to this article

Comments

Comments are now closed

 
Computerworld
CIO
Techworld
CMO

Latest News

02:52PM
Australians are aware, educated about Big Data: MapR
09:45AM
Synnex named Apple’s third iPad distributor
09:27AM
Oakton: Most organisations have dug themselves an ERP hole, according to survey
08:12AM
Datacom Australia takes a hit, while group profits and revenue grow
More News
08 Sep
ITIL Foundation (incl. Exam)
10 Sep
CPX 2014
10 Sep
IT Leaders Lunch
16 Sep
Ingram Micro SMB Favourites Roadshow
View all events