Daily News: November 16, 2017

Lawrence Financial Group Closes $130MM in 25 Transactions in 2017


Lawrence Financial Group closed more than 25 transactions for a total of more than $130 million in the first nine months of 2017.

Highlights of some of the more significant arrangements closed in the third quarter included:

  • Up to $20 million for a Puerto Rico pharmaceutical plant. First funding of the transaction included accounts receivable and equipment advances. Additional funding will take place upon the restoration of normal activities in Puerto Rico. The company recently received a $90 million contract to provide drugs for the Veteran’s Administration.
  • Purchase order funding for a distributor of name-brand electronics. The company, based in California, specializes in high tech products such as Apple.
  • A Los Angeles-based trucking company was granted leasing lines to purchase new trucks and trailers.
  • A capital lease line facility for a Hollywood-based post production company. The need was for new equipment to make available to its movie studio clientele.
  • Through its joint venture partner, FSW Funding of Scottsdale, AZ, accounts receivable lines were made available to several new clients, including a staffing firm and a manufacturer of body armor for military and police.

Earlier in 2017, Lawrence arranged the following transactions:

  • $45 million purchase of accounts receivable for liquidation to a Los Angeles furniture retailer which sought to monetize its portfolio of consumer contracts. Due to changes in the retail industry, the owners chose to shut down its stores and needed a buyer to purchase receivables due from its long-time customers.
  • $5 million working capital revolving line of credit for a San Diego-based marketing services firm. Founded in 2008, the company sought funding for expansion and acquisitions. Marketing services are performed for various financial services customers such as insurance companies, financial institutions, mortgage lenders and credit card providers.
  • $7.5 million working capital revolving line of credit for a San Diego-based marketing services firm. Founded in 2008, the company sought funding for expansion and acquisitions. Marketing services are performed for various financial services customers such as insurance companies, financial institutions, mortgage lenders and credit card providers.
  • $5 million for a South Carolina-based distributor of printing cartridges. The firm has assets in both the U.S. and UK and sells its products in more than 100 countries worldwide. Founded in 1985, its primary distribution relationship is with Ricoh of Korea. The line of credit was arranged as a cross border financing.
  • $4 million receivables working capital line of credit for a PVC manufacturer based in Santa Paula, CA. Specialized products are coated plastic piping used in a vast array of industries. The revolving facility was arranged with a bank with no personal guarantee due to the financial strength of the borrower.
  • $5 million seasonal inventory term loan for a California toy import and distribution concern. A stand alone inventory availability was required to supplement financial requirements.
  • $2 million line of credit for a Sun Valley AV distribution firm. Customers include DJs, music concert promoters and other clients using these items. The business provides products such as speakers and lighting units from manufacturers such as Magma and Phillips, among others.
  • $3 million facility for a high tech staffing company based in San Diego focused on offering flexible staffing solutions to the telecom industry. Major clients are wireless operators which need immediate temporary help in areas such as tower maintenance, IT services, etc.
  • $1.5 million purchase order financing for a Scottsdale, AZ, manufacturer and distributor of holiday storage containers. The company sells these containers for use by consumers to store items including Christmas tree ornaments and holiday wrapping supplies.
  • $1 million as a capital placement for a flexible staffing firm in Long Beach, CA and Orange, CA. Specialties include office, clerical, light manufacturing warehousing and similar. Temps are provided to a variety of companies in Southern California.

Highlights of significant deals arranged in the first quarter of the year include:

  • $10 million revolving line of credit for a Rancho Dominguez, CA, tire manufacturer and retread operation. The borrower is part of a Korean public company.
  • $9 million for a woman-owned home care and therapy concern based in Santa Ana, CA. The operation gives services to elderly and disabled individuals and families.
  • $3.5 million term loan to an Orange County, CA water bottling plant. Previously, Lawrence had arranged a revolving line of credit for the bottler.

Lawrence specializes in providing asset-based financing including loans secured by accounts receivable and inventory, as well as term loans on equipment and intellectual property.