April 9, 2010 – (HOSTSEARCH.COM) –
iWeb Group Inc. (TSX-V: IWB), a global provider of Internet hosting services and IT infrastructure, confirms the completion of a new $3 million financing agreement with BMO Bank of Montreal, one of its major financial partners.
iWeb's Chief Financial Officer, Philip Tousignant, announced that the increased facility will be used to finance the initial 3,000 servers provisioned in the Company’s new data center. Once it reaches capacity, iWeb’s fourth Montreal data center will have an estimated 20,000 dedicated servers online.
The $3 million credit facility is available in term loans, bearing interest of 4.25% as of today (prime rate plus 2%), payable in monthly instalments over 42 months. The agreement also includes a 0.5% reduction in the interest rate on the outstanding amount of the previous facilities (balance owed as at March 31, 2010 is $3.1 million). Finally, an additional facility for foreign exchange contracts is also included in this agreement.
About iWeb Group Inc.
iWeb is a worldwide provider of Internet hosting services and IT Infrastructure. With the opening of its fourth data center in Montreal, iWeb's capacity will near 35,000 dedicated servers. Since 2004, the company's compounded annual growth rate has been above 75%, making it one of Canada's 100 fastest growing companies according to PROFIT Magazine.
Founded in 1996 in Montreal, iWeb now generates more than 60% of its revenues from abroad; and employs over 170 full-time employees providing Dedicated Server Hosting, Co-location and Web Hosting services to close to 20,000 customers in 145 countries. iWeb's shares are listed on the TSX Venture Exchange (TSX-V: IWB).
