Chromatin, Inc., a leading agriculture technology company, today announced it has closed a three-year, $12.5 million credit facility with The PrivateBank.
The credit facility represents Chromatin’s first financing with a commercial lender and provides capital to support the company’s rapidly expanding sorghum seed business. Chromatin has also raised over $70 million in equity financing.
“We are pleased that Chromatin has qualified for commercial lending rates that significantly reduce our cost of capital. This deal reflects Chromatin’s predictable recurring revenue and strong balance sheet,” said David Woodburn, Vice President of Finance and Development at Chromatin. “The funding facility will be available for working capital and general corporate purposes.”
Chromatin’s sorghum market share in both domestic and global markets has steadily increased over the past four years, driven in part by rising demand for water-efficient crops. Sorghum is a high-yielding, rapidly maturing, heat and drought tolerant crop that meets the needs of both traditional agriculture markets and renewable energy applications.
“We are pleased to announce this relationship with The PrivateBank,” said Daphne Preuss, Chromatin’s CEO. “Their focus on rapidly growing, middle-market companies makes The PrivateBank an attractive growth partner for Chromatin and its shareholders.”
Chromatin was advised by David Zwick on this transaction.