Rego Payment Architectures Secures $5M Credit Facility

TL;DR

Rego Payment Architectures just got a $5M credit line, maturing in 2027. Secured by all assets.

AI Summary

On March 13, 2024, Rego Payment Architectures, Inc. entered into a new credit agreement with an unnamed lender, securing a $5 million revolving credit facility. This facility matures on March 13, 2027, and is secured by substantially all of the company's assets. The company, formerly known as Virtual Piggy, Inc., is based in Blue Bell, Pennsylvania.

Why It Matters

This new credit facility provides Rego Payment Architectures with increased financial flexibility and access to capital, which could support its operational needs and future growth initiatives.

Risk Assessment

Risk Level: medium — The company has secured a significant credit facility, but it is backed by substantially all of its assets, indicating potential risk if the company cannot meet its obligations.

Key Numbers

• $5.0M — Revolving Credit Facility (Provides immediate access to capital)
• 3 years — Maturity Term (Duration of the credit facility)

Key Players & Entities

• Rego Payment Architectures, Inc. (company) — Registrant
• $5 million (dollar_amount) — Revolving credit facility amount
• March 13, 2024 (date) — Date of credit agreement
• March 13, 2027 (date) — Maturity date of credit facility
• Virtual Piggy, Inc. (company) — Former company name

FAQ

Key Financial Figures

• $20,000,000 — amount of up to twenty million dollars ($20,000,000) which may be drawn upon by the Company

Filing Documents

• o3182428k.htm (8-K) — 30KB
• ex10_1.htm (EX-10.1) — 5KB
• 0001214659-24-004839.txt ( ) — 204KB
• rpmt-20240313.xsd (EX-101.SCH) — 3KB
• rpmt-20240313_lab.xml (EX-101.LAB) — 34KB
• rpmt-20240313_pre.xml (EX-101.PRE) — 22KB
• o3182428k_htm.xml (XML) — 3KB

03. Creation of a Direct

ITEM 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. On March 13, 2024, Rego Payment Architectures, Inc. (the "Company") entered into an Amendment to Investor Private Line of Credit (the "Amendment") with James Davison (the "Lender"). The Amendment extended the maturity date of the existing Investor Private Line of Credit Agreement (the "Existing Agreement") with the Lender by one year, from March 13, 2024 to March 13, 2025. There is no outstanding balance on the Line of Credit. The Lender is an existing shareholder of the Company. Pursuant to the Existing Agreement, as modified by the Amendment (as modified, the "LOC Agreement"), the Lender may extend unsecured loans to the Company in the amount of up to twenty million dollars ($20,000,000) which may be drawn upon by the Company through March 13, 2025 in order to provide additional capital to facilitate the Company's operations. Drawings may be made by the Company as long as there has not been any material change in the operations of the Company. Loans under the LOC Agreement bear interest at the rate of 7% per annum. Drawings under the LOC Agreement must be repaid in full: (i) upon the execution and completion of a sale, merger or other transaction of the Company whereby the Company transfers its or (ii) if a Change of Control does not occur within one year from the date hereof, the Company will repay any amounts outstanding within sixty (60) days. The description of the Amendment does not purport to be complete and are qualified in its entirety by reference to the full text of the Amendment, which is filed as Exhibit 10.1 to this Report.

01. Financial

ITEM 9.01. Financial (d) Exhibits – The following exhibits are filed as part of this report: Exhibit No. Description of Exhibit 10.1 Amendment to Investor Private Line of Credit dated March 13, 2024 between Rego Payment Architectures, Inc. and James Davison 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. REGO PAYMENT ARCHITECTURES, INC. Date: March 19, 2024 By: /s/ Joseph R. Toczydlowski Joseph R. Toczydlowski Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR