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Catalyst-backed Callidus Capital reports growth in loan portfolio

Callidus Capital Corp (TSX: CBL), a specialty lending platform owned by Canadian private equity firm Catalyst Capital Group, has reported that its gross loans receivable has grown to $545 million, with an aggregate committed amount of $674 million. Additionally, its pipeline of potential new loans is now approximately $552 million, of which the company has signed back term sheets for $218 million. While the Toronto-based Callidus went public in April, it remains majority owned by Catalyst.


Callidus Capital Corporation Reports Update Regarding Business Growth

TORONTO, July 15, 2014 /CNW/ – Callidus Capital Corporation (“Callidus” or the “Company”) (TSX: CBL), a provider of flexible and innovative asset-based loans, announced today an update on the current status of its business.

We are pleased to report that as at July 10, 2014, our gross loans receivable were $545 million, with an aggregate committed amount of $674 million. This represents an increase from our position on May 8, 2014 when we reported gross loans receivable of $480 million and an aggregate committed amount of $588 million. As stated during our earnings teleconference call on May 15, 2014, this disclosure is consistent with our intention to inform the market should the loan portfolio move by more than $65 million.

Additionally, our pipeline of potential new loans is currently approximately $552 million, for which we have signed back term sheets that we are pursuing of approximately $218 million, recognizing that not all of these potential loans will close.

We are also pleased to announce that we have hired Sylvain Raymond, as a senior originator who will be located in Montreal, Quebec. This highlights our continuing efforts to grow our team in order to enhance and complement our geographic coverage in certain Canadian and US markets. We will continue to provide you with updates as we make progress regarding our growth initiatives.

About Callidus Capital Corporation

Established in 2003, Callidus Capital Corporation is a Canadian company that specializes in innovative and creative financing solutions for companies that are unable to obtain adequate financing from conventional lending institutions. Unlike conventional lending institutions who demand a long list of covenants and make credit decisions based on cash flow and projections, Callidus credit facilities have few, if any, covenants and are based on the value of the company’s assets, its enterprise value and borrowing needs. Callidus employs a proprietary system of monitoring collateral and exercising control over the cash inflow and outflows of each borrower, enabling Callidus to very effectively manage any risk of loss.

Non-IFRS Measures

This press release contains references to gross loans receivable, which is not a generally accepted accounting measure under International Financial Reporting Standards and therefore the definition used by the Company may differ from the definition of such term used by other entities. The Company defines “gross loans receivable” as the sum of (i) the aggregate amount of loans receivable on the relevant date, (ii) the loan loss allowance on such date, (iii) the book value of assets held for sale as they appear on the balance sheet, and (iv) discounts on loan acquisitions. Management believes that gross loans receivable is a useful supplemental measure that may assist purchasers in assessing the financial performance and the cash anticipated to be generated by the Company’s business. Gross loans receivable should not be considered as the sole measure of the Company’s performance and should not be considered in isolation from, or as a substitute for, analysis of the Company’s financial statements.
SOURCE Callidus Capital Corporation

For further information:
David Reese
Chief Operating Officer
(416) 945-3016

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