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Norwood Systems Limited (ASX:NOR)

ALERT: Price-sensitive ASX Announcement for NOR
Current share price for NOR : $0.015 -0.003 (-16.67%)+
Announcement
Release
1 Sep 2025 6:33PM
Price at Release
$0.018
Full Release
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Summary
Norwood Systems Ltd announced an eleventh deed of variation to its existing loan agreement with Balmain Resources Pty Ltd, increasing the cash drawdown facility to $300,000. The loan, originally secured in April 2024, was intended to provide Norwood with essential working capital to pursue growth opportunities like the Optus contract. Successive variations have increased the loan facility and extended the repayment dates several times, with the most recent variation setting it at $322,669.27 including fees and interest, and a repayment extension to 3rd September 2025. The interest rate remains at 7.95%, with a $3,000 extension fee. The Norwood board considers the terms favorable compared to current market rates. Paul Ostergaard, CEO and Founder, emphasized the importance of Balmain's support in maintaining focus on sustainable growth.
Key Points
  • Norwood Systems Ltd entered into an eleventh deed of variation for a cash drawdown facility.
  • The facility was originally secured in April 2024 for $300,000.
  • The loan was provided by Balmain Resources Pty Ltd, controlled by Dr. John Tarrant.
  • Interest and fees have been capitalized multiple times, increasing the principal amount.
  • The repayment dates have been extended several times, with the latest set to 3rd September 2025.
  • The interest rate remains at 7.95%, with a $3,000 extension fee.
  • Norwood Systems is using the facility as vital working capital for growth, including securing the Optus contract.
  • The board finds the loan terms favorable compared to market rates.
  • CEO Paul Ostergaard highlighted Balmain's support as crucial for sustainable growth.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.