By Dave Sebastian

Team Inc. said it entered into a new $50 million subordinated term loan that closed Tuesday to boost its working capital as the company raised doubt about its ability to continue as a going concern.

The Sugar Land, Texas, provider of specialty industrial services on Friday said its existing term-loan financial covenants have been waived until Sept. 30, 2022, providing it with more financial flexibility.

The company said it has insufficient funds from its borrowing capacity and cash for its planned operations for at least a year beyond the data of its third-quarter financial statements. Behind the going-concern notice, which can flag survival problems for businesses, are revenues for the three months ended Sept. 30 that didn't meet company expectations and recurring losses and reductions in activities that have put pressure on near-term liquidity, it said.

Write to Dave Sebastian at dave.sebastian@wsj.com

(END) Dow Jones Newswires

11-12-21 0653ET