Sigma Lithium Signs Inaugural Deferred US$ 22,4 Million Letter Of Credit Export Financing With Banco Do Brasil.
Sigma Lithium Corporation (“Sigma Lithium” or the “Company”) (NASDAQ: SGML, BVMF: S2GM34, TSXV: SGML), a leading global lithium producer dedicated to powering the next generation of electric vehicles with carbon neutral, socially and environmentally sustainable lithium concentrate, is pleased to announce it signed an inaugural deferred US$ 22.4 million letter of credit for export financing with Banco do Brasil at very low interest rates.
As Sigma matures as an industrial producer and demonstrates its ability to consistently deliver its Quintuple Zero Green Lithium, it gained access to low-cost trade finance mechanisms through Banco do Brasil, available to the country’s largest industrial exporters. These agreements enhance Sigma Lithium’s commercial flexibility and market access.
As a result of the lower interest export credit lines, the Company will phase out the existing trade lines in its treasury, thus decreasing the Company’s recurring interest expenses and further improving its competitiveness.
Ana Cabral, Co-Chair and CEO of Sigma Lithium notes:
We have reached a significant milestone in our journey as a producer, achieving the maturity to access trade financing instruments available to Brazil’s largest exporters.
“We are honored to be working with Banco do Brasil, the country’s largest bank, which has extended through its balance sheet in Asia highly competitive interest rates to Sigma Lithium. Banco do Brasil has a history of more than a century in fostering the development of industrial exporters in the country. With this inaugural Transaction with Sigma Lithium, one of the world’s largest producers of industrial lithium materials, Banco do Brasil strengthens its leading position in developing the Brazilian green industrialization of future facing battery materials.”
“Maintaining a consistent shipping schedule, demonstrating our product quality and low costs, as well as our ability to market to downstream battery and auto makers, has opened these additional credit opportunities for Sigma. The Transaction enhances the Company’s flexibility in how it markets its Quintuple Zero Green Lithium, ultimately helping to institutionalize a price premium that reflects its superior chemical qualities.”
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Sigma Lithium Signs Inaugural Deferred US$ 22,4 Million Letter Of Credit Export Financing With Banco Do Brasil. source
