EXO U Inc. announced that it has entered into a letter agreement with Alternative Capital Group Inc. for a secured credit facility of up to $4,000,000, to be entered into between Alternative Capital Group Inc. or an affiliate thereof and EXO U. The Credit Facility will include an initial facility of up to $2,500,000 and, subject to the approval of ACG, an additional facility of up to $1,500,000. The Credit Facility will provide for the disbursement of funds in tranches to be determined and agreed upon between EXO U and ACG. The amounts to be disbursed under the Credit Facility will bear interest at a rate of 14% per annum and will be repayable 24 months after the closing date of the initial disbursement under the Credit Facility. The Credit Facility will be secured against all of the assets of EXO U and will be subject to a subordination of EXO U's 2016 R&D credits.