Republic provides $3.5 million Asset Based Loan to boost company profitability
LOS ANGELES, Oct. 3, 2023 /PRNewswire-PRWeb/ -- When an Oregon-based private equity-owned metal injection molding company sought a new partner to replace their bank line of credit, they chose Republic Business Credit. Republic extended a $3.5 million asset-based loan revolver with an additional $500k equipment term loan.
The company is a global leader in metal injection molding techniques, offering a range of services, such as tooling, finishing and product design. Metal injection molding is a metalworking technique used to create net shape, complex metal parts in large quantities. It finds widespread use across industries, including electronics, automotive, medical, and industrial sectors.
The company has been profitable for years but with a heavily export-based model, they were vulnerable to shifts in the market and changes in major buyers' needs. It was also in search of a new lender that could better meet its credit facility and international market share. Republic was that partner.
Republic Business Credit was able to close this agreement with the client within just six weeks of an executed letter of intent. Republic's speed, experience and products made it the perfect partner for this company. The company was able to return to profitability and is projected to continue growing profitability over the next 12 months.
"This is an excellent example of how asset-based loans can help a historically stable company regain its footing after an unexpected disruption," said Republic's Senior Vice President and Underwriting Manager, Brian Daray. "We are thrilled to have helped this industry-leading company reach their goals quickly and efficiently."
Republic was also suited to meet the company's needs on international receivables beyond what is industry standard and provide sufficient, forward-looking availability and covenants.
"As an asset-based lender, we are able to be nimble to meet the needs of our clients and help them find a solution that works best for their business," said Republic President, Robert Meyers. "We are proud to have helped this company recover and set new goals for its future."
Republic partners with private equity, independent sponsors and family offices across the county to support their portfolio companies.
About Republic Business Credit
Republic Business Credit is a nationally recognized commercial finance company supporting the working capital requirements of companies nationwide, including private equity and entrepreneurial businesses. Republic provides asset-based lending, ledgered lines of credit, traditional factoring, factoring and Fast AR Funding. Republic partners with its clients to provide up to $15 million in senior credit facilities to rapidly growing businesses, start-ups and companies experiencing recoverable distress. Republic is recognized by the Secured Finance Network as one of the largest finance companies in the United States of America. Republic is proud to be headquartered in New Orleans with additional offices in Chicago, Los Angeles and Houston. Republic is a wholly owned subsidiary of Renasant Bank.
Media Contact
Emma Amorose, Respublica, 412.807.9236, [email protected], republicbc.com
SOURCE Republic Business Credit
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