Identiv Group announces $20M credit agreement Identiv announced that it has entered into a $20M term loan and line-of-credit agreement through Opus Bank's Technology Banking Division. The proceeds of the transaction will be used to retire existing debt and enhance liquidity.
Identiv to reduce 25% of non-manufacturing employee base Identiv announced expense reduction actions and organizational changes. The Company also announced the departure of certain executive officers, and preliminary revenue results for FY15. The Company has implemented operating expense reductions and organizational re-alignment to bring its cost structure into line with its current revenue performance. For the FY15, the Company expects to report revenue between $61.0M-$61.5M, compared to previously provided revenue guidance in the range of $62.0M-$64.0M. The Company has implemented a worldwide restructuring plan to refocus its resources on the core business segments of physical access and transponders, and has embarked on the consolidation of operations in several worldwide locations. The plan includes a reduction of approximately 25% of Identiv's non-manufacturing employee base. It also strengthens core business segments by reallocating overhead roles into direct business activities and eliminating several management and executive roles, including the position of president. As a result, the Company expects to bring its quarterly operating expense run rate below $6M starting in the Q2 and to achieve positive adjusted EBITDA in the second half of 2016. This estimate excludes certain professional fees associated with non-core business activities. A non-operating charge associated with the restructuring plan will be recorded in the Q1. Identiv will provide additional details when it reports its financial results for the Q4 and FY15.