The Antenna Company has announced the closing of a venture debt financing agreement with Brabant Development Agency (BOM). With this boost of cash, the Eindhoven-based high-performance antenna design specialist is looking to accelerate its growth plans, while continuing to develop innovative solutions in the consumer, 5G, enterprise and industrial IoT markets.
The exact amount of financing hasn’t been disclosed, but according to BOM, the agreement is for much more than only a couple of hundred thousand euros. The terms and conditions of loan repayment also remain unknown. BOM did divulge that the agreement is a classic venture-debt loan instrument, where the development agency isn’t taking stock in the company but expecting a high-interest return on the credit line within a few years, as well as the potential for some other unnamed options.
While The Antenna Company doesn’t have years of cashflow and securities to offer as collateral, which are needed for a typical bank loan, BOM sees this as a strong opportunity to invest in the Eindhoven company. Not only is it entering a high-growth phase, but it specializes in wireless communications, which is seen by the development agency as one of the key technologies accelerating the Brabant region.
“This financing further strengthens our balance sheet at an attractive cost of capital as we scale worldwide product sales, customer support and advanced research and development,” says David Favreau, CEO of The Antenna Company. “We welcome this new relationship with BOM, a reputable growth accelerator that shares our passion for technology innovation.”