eAutoclaims Inc. , an Oldsmar, Fla.-based ASP that provides online claims management services for the auto insurance industry, announced yesterday it has secured an equity line of credit for up to $10 million over a period of three years. The company reports that transaction is subject to a final definitive agreement and a registration statement to be filed with the SEC.
eAutoclaims’ services are designed to streamline the insurance claims-handling process, decreasing the time and cost required to process a collision claims. The company’s Web-based platform and network of service providers handles repair estimates, repair audits and claims systems administration services.
“This line of credit will enable us to take advantage of a greater number of opportunities, which we are now pursuing and which we believe will contribute to our growth in 2003,” eAutoclaims president and CEO, Eric Seidel said. “The terms of the agreement enable the company to tightly control the number of shares coming on the market, something we are very sensitive about minimizing.”
In December, eAutoClaims announced that total revenues for the first quarter of fiscal 2003 — ended October 31, 2002 — were $8,164,826, up six percent (from $7,690,921) from the same period 12 months ago. Net loss for the first quarter was $876,852, down 34 percent from $1,338,328 in comparable period last fiscal year.
eAutoClaims customers include insurance companies, fleet management companies and insurance services companies.
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