Daily News: November 20, 2014

Essex Arranges $3.2MM Recap for Manufacturer

Essex Capital Group announced the closing of a $3.2 million balance sheet recapitalization for a privately held industrial manufacturing company.

As a part of the restructuring, Essex was successful in arranging a comprehensive solution that involved two specialty finance companies. An asset-based credit line provided traditional advance rates on A/R and inventory. Separately, Essex also arranged for a sale-leaseback on the company’s existing equipment to provide further liquidity.

The new capital structure allows the company to de-leverage through the payoff of subordinated debt, while providing additional working capital to support ongoing operations and growth opportunities.

Essex Capital acted as the company’s exclusive advisor in the transaction.