Luna Innovations Announces New Credit Facility

Luna Innovations Inc. announced that it has entered into a $5 million revolving credit facility with Silicon Valley Bank (SVB). In May 2008, Luna entered into a $10 million credit facility with SVB that included a four-year term debt of $5 million and a remaining facility available under a four-year revolving line of credit of up to $10 million. Luna paid off the original $5 million term debt and terminated the prior facility in July 2009.

“SVB has once again put forth a credit facility that shows its support of Luna and our business model in the midst of the tough economy,” said Scott Graeff, COO and treasurer. “SVB is a bank that clearly understands the importance of technology in the global marketplace. We are very pleased that it remains committed to our long relationship.”

The facility is secured by certain company assets and is subject to customary covenants, including covenants requiring the company to meet EBITDA milestones and liquidity ratios.