Crown Partners has released a new case study detailing its arrangement of a $75 Million ABL revolver in less than 90 days. The client, a sponsor-backed home services provider, experienced a sudden liquidity constraint due to a surge in underlying commodity costs, which was not properly supported by the incumbent lender’s structure.
With this existential liquidity challenge emerging just prior to the company’s high selling season, Crown Partners was engaged to urgently secure accretive go-forward debt financing. The firm quickly filtered the market of ABL lenders and ran a turnkey process, which ultimately generated five competitive term sheets in short order.
The final solution provided an incremental $10 million in liquidity (using the same collateral pool) which allowed the borrower to survive through their high selling season.
