Next Investors logo grey

engage:BDR receives funding support from US government

Published 25-MAY-2020 10:01 A.M.


1 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.

Click Here to View Latest Articles

engage:BDR (ASX: EN1; EN1O) has received approval for SBA EIDL funding under its application for the US CARES Act EIDL (economic injury disaster loan).

The initial funding for EN1 is US$150,000 or $230,000 which is the program’s current maximum.

Management expects additional legislation to be passed in the coming months, potentially resulting in an increase in the EIDL and PPP funds as the original cap on this program was US$2 million.

The terms for this funding include a 30-year payment term, 3.75% interest rate, monthly payments of $731 starting 12 months after closing and a US$100 filing fee.

The company clarified one aspect of the funding after receiving an inquiry regarding the potential for EN1 to return any SBA funding (PPP or EIDL) because it is a listed entity.

On this note, the key factor is that EN1 is a listed entity in Australia, not the US.

The entity which received funding, engage:BDR, LLC, is a private US corporation, with all of its full-time employees working within the US borders.

Management does not foresee any issues or potential for returning SBA funding.

There have been a small number of listed, multi-billion-dollar market cap companies in the US that have voluntarily returned their funding, but EN1 does not fit into this category.

General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.