$16 Million Bank Loan Restructured
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$16 million
bank loan restructured |
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A digital marketing company with sales of $80M and bank debt of
$16M needed assistance to restructure and renew its loans.
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Challenges:
The company was in default on its bank loans and the relationship with its
lender had deteriorated substantially. In order to position itself for a sale,
the company needed relief from its debt service and a one-year extension.
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Solutions:
Working closely with management, KGI built a communication and information
exchange process with the lender, and revised the company's business plan and
financial projections with an integrated financing solution.
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Results:
The loan was renewed for one year, which included amended covenants and debt
service provisions, and the infusion of $1M of new capital from the lender
without increases to interest rates or fees. The financing solution also
included an infusion of $1M of new capital from the equity holders.
Management rebuilt its credibility and re-established a strong working
relationship with the lender, who restructured its $16M loan.
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For more information contact:
Steve Green, Co-Founder & President: sgreen@kginc.com |
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FOR MORE INFORMATION ON KGI |
Whether a Company is struggling financially or on the cusp of breakthrough growth, KGI can help. Our seasoned experts work alongside management to solve complex cash flow issues, operational challenges and other business crises. If liquidity or sale is needed, KGI provides a powerful combination of services and expertise to achieve outcomes that cannot be duplicated by other standalone consulting firms.