08:50 AM EDT, 07/02/2024 (MT Newswires) -- Lion Electric ( LEV ) said Tuesday that it has secured a new financing deal with Investissement Quebec worth 5 million Canadian dollars ($3.6 million).

The loan, which is under Investissement Quebec's ESSOR funding program, has an initial term of three years for an annual interest rate of 13% and can be drawn up to CA$7.5 million, Lion Electric ( LEV ) said.

Additionally, the company said its senior revolving credit agreement with the National Bank of Canada was amended to suspend certain financial covenants, namely a tangible net worth test and a springing fixed charge coverage ratio, until Sept. 30.

During the relief period, the company is required to maintain a minimum liquidity of CA$15 million.

Shares of the company were up 3.6% in recent Tuesday premarket activity.

Price: 0.9000, Change: +0.01, Percent Change: +1.39