Range International Limited (ASX:RAN), a manufacturer of Re>Pal™ zero-waste plastic pallets, has agreed updated terms with lenders under its Directors and management loan facility, extending the loan term until 31 January 2028, and confirmed receipt of a purchase order for 3,000 new pallets from an existing client.

Key Points

  • Updated loan facilities total A$365,000, running from 24 December 2026 until 31 January 2028, at an interest rate of 18% per annum on amounts drawn down.
  • The amount due to mature in December 2026 has been reduced from approximately A$500,000 to A$150,000 following agreement with lenders to updated terms.
  • The recent Entitlement Offer successfully raised approximately A$937,000 before costs, which the Board considered in determining the most effective use of funds.
  • An existing client has submitted a purchase order for 3,000 new pallets, which the company said will turn the transaction into a cash-positive transaction.

Updated Loan Facility Terms

The updated loan facilities, totalling A$365,000, will be provided by Directors or their associated entities and management of the company on commercial terms. The facilities carry an interest rate of 18% per annum on any amounts drawn down, with no establishment fee and no security. There are no conversion rights, meaning lenders have no ability to convert outstanding amounts to shares of the company. The agreements will terminate upon an Event of Default or a Change of Control Event, and also contain warranties and representations standard for an agreement of this nature, according to the filing.

Reduction in Near-Term Debt Maturity

Following the outcome of the Entitlement Offer, the Board considered the most effective use of the funds raised. As part of those deliberations, the company secured agreements from lenders to updated terms that reduce the amount due to mature in December 2026 from approximately A$500,000 to approximately A$150,000. The company stated this releases further funds to be deployed to its growth initiatives. The updated terms extend the loan originally announced on 27 December 2024, with the new term running until 31 January 2028.

Client Purchase Order for 3,000 Pallets

In a trading update accompanying the loan disclosure, Range International confirmed that an existing client has submitted a purchase order for 3,000 new pallets. The company's quarterly update of 27 October 2026 had previously referenced this client as being in the late stages of issuing a purchase order that would see the company acquire 338 tonnes of feedstock plastic, described as representing 1.5 months of the company's total feedstock needs, on commercially attractive terms. The company said the confirmed purchase order will turn the transaction into a cash-positive transaction.