Plastics manufacturer providing a suite of stackable storage bins.
- Emerging from Chapter 11 three years prior to purchase by PE owner
- Large CAPEX requirement to meet existing customers’ new demand and attain profitability
- Rising resin costs further challenge margin profile
- Requested to leverage proprietary molds to generate working capital (an asset with no market value outside of its intended use for the manufacturer)
- Forbearance with senior lender, the bank was friendly through the refinance process
- 100% Advance $7mi in in-place in-use injection molding assets
- Additional $10mi in availability for ongoing injection molding investments
- 100% Advance on $7mi MOLDS on 2 year terms
- The finance transaction ensured minimal interruptions and distractions in the customer’s daily course of business
- Customer continued utilizing FNC for 3 years and $45mi total funding until their eventual sale to global manufacturing conglomerate
Business Cycle Volatility
Wider credit appetite for companies in all phases of the business cycle.