Daily News: March 19, 2014

LMC Sources $5MM Revolver for Oil and Gas Company

The London Manhattan Company announced it recently sourced a $5 million revolver for an oil and gas field services client.

The borrower has a successful track record in the oil and gas field business, and has current sales of approximately $35 million with solid EBITDA. Despite its history of strong operations, the company had approximately 65% concentration with one large customer. This factor had complicated its search for more working capital needed to expand its business.

LMC found a revolver for the client with all in, single-digit pricing despite the customer concentration issue. This new facility will provide working capital, enabling the client to grow its business servicing the expanding oil and gas field industry.

The company, located in the southwest, has been in the business of providing oil field equipment and services for more than 40 years, and rents fishing equipment, pumps, accumulators, blow out preventers and similar gear to its oil field customers.