Obtained finance for new equipment, and tender for new contracts
Asset Finance / Growth Funding
- Listed Mining Services client
- Client had a strong pipeline of new business and required committed facilities to enable it to confidently tender for new contracts.
- Financial profile was improving following strong growth over the previous 2-3 years, however, a view needed to be taken on forecast performance to support the increased funding requirement.
- Worked with the client to clearly articulate their financial model and substantiate its underlying assumptions.
- Developed appetite from a range of financiers to ensure all avenues were explored in the lead up to the funding requirement.
- Negotiated and agreed a range of covenants that provided the financier comfort that financial performance would meet expectations, whilst providing our client confidence that there was sufficient headroom in place.
- Assisted with the negotiation of documentation to ensure the terms and conditions met the client’s ongoing operating requirements.
- Achieved funding in two tranches, one revolving tranche for $10.0m for finance for new fleet for existing operations and the second, non-revolving tranche to support equipment needs associated with new contract wins.
- Facilities provided the business sufficient capital to purchase / build new equipment and tender for new contracts.
- Client has since deployed newly built equipment into existing sites and successfully tendered and won new contracts and financed equipment to meet this growth.
- Financial performance has exceeded forecasts, the business is performing strongly and has continued growth aspirations