A Canadian-based oilfield pipe construction, installation and maintenance firm serving major exploration and production companies.
With the continued decline in the price of oil, banks have begun to reduce their loan portfolio exposure in the industry. The Company was in breach of one of its financial covenants and was notified by their bank that their credit facility was being terminated. As a result, the Company needed to quickly find an alternative lending source and looked for a partner who was committed to the energy industry.
A $3,000,000 asset-based lending facility which refinanced the Company’s existing debt and provided ongoing working capital to support the Company’s operations.