Donkey Republic concludes loan restructuring of existing loans following successful negotiations with lenders
Company announcement No. 13 - 2023
Donkey Republic has agreed with its major lenders to restructure the repayment plans in order to improve its liquidity position in 2023 and 2024. This has been a key step to ensure the successful execution of the revised strategy, leading to a positive EBT in 2024.
Having finalized this now means Donkey Republic has completed the three key drivers outlined in company announcement no. 08-2023 that were necessary to be on track with the company's 2024 guidance.
- Repayment conditions of loans have been renegotiated which will free up liquidity in 2023 and 2024 to secure execution of the revised strategy
- The capital raise was carried out as a private placement, raising gross proceeds of 1.5M EUR (company announcement no. 9-2023)
- HQ cost reductions have been carried out in May to reflect the revised growth ambitions
Management sees the company in a good position to achieve the projected positive EBT for 2024 pursuing consolidated growth at sustainable margins without further need of additional funding. The company will continue to monitor and assess opportunities for funding enabling next level growth. The assumptions behind the guidance laid out in the annual report remain valid.
Current guidance for 2023 and 2024:
2023
Revenue: 13M-15M EUR
EBITDA: 1.2M-1.4M EUR
EBIT: Negative 2.0M-1.8M EUR
2024
Revenue: 17-22M EUR
EBITDA: Positive
EBIT: 5%-10% of revenue
