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    NexCen Extends Forbearance with Lender

  • Industry News July 18, 2008
    NexCen Brands, Inc. (NASDAQ: NEXC - News), today announced that the company has entered into an amended and restated letter agreement with BTMU Capital Corporation (“BTMUCC”) that extends the original forbearance period from July 17, 2008 through August 8, 2008. The terms and conditions of the amended and restated agreement include a number of modifications that should enhance the company’s access to cash to fund operations.

    The company also announced that it has made substantial progress in working with BTMUCC toward a comprehensive restructuring of its loan facility, and it intends to continue to work with its lender to formalize the restructuring by the end of the forbearance period on August 8, 2008.

    “We are gratified by the ongoing support of our lender as we work together to develop a long-term financing solution for NexCen,” states Robert W. D’Loren, CEO of NexCen Brands. “Importantly, the progress we have made in working with our lender toward the restructuring of our credit facility enables us to continue implementing our operating plans for both our license and franchise businesses.”

    While NexCen is working with BTMUCC to conclude a comprehensive restructuring of its loan facility by the end of the forbearance period on August 8, 2008, no agreement has yet been reached, and there can be no assurance that any agreement will be reached and approved by the parties by such date, or at all, on terms that will provide the company with the additional liquidity it needs to operate its business.

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