Daily News: March 1, 2013

AloStar Provides $32.35MM in Credit Facilities

AloStar Business Credit recently provided financing to two companies. The transactions totaled $32.35 million.

AloStar provided a $15 million senior secured revolving credit facility to Advanced Environmental Recycling Technologies (AERT). The facility consists of an $8 million revolving line of credit and a $7 million term loan.

AERT is a recycler of polyethylene plastic and waste wood fiber, which is converted into a non-wood alternative building material used in decking, door and window components, and exterior trim for residential and commercial buildings.

“Advanced Environmental Recycling Technologies is widely recognized as a leader in resource conservation and innovation,” said Andy McGhee, president of AloStar Business Credit. “Our plan is to support AERT’s financial needs as it grows its core business.”

Separately, AloStar Business Credit announced it provided an $11 million revolving credit facility to Principal Manufacturing Corporation (PMC), a manufacturer of engineered solutions for automotive and industrial companies. In addition to the revolver, AloStar also provided a $6.35 million term loan.

PMC is a precision metal stamper and fineblanker of seats, seatbelts, seat weight sensors, as well as throttle controls, transmission and four-wheel drive transfer units, engines and latches. PMC also offers conventional stamping and plastic injection molding services.

“We look forward to working with Principal Manufacturing to provide access to the capital it needs,” McGhee said. “Their specialized offerings set them apart in an industry sector that is poised for a rebound.”