CGCF funds $4.4MM equipment operating for International Fashion Clothing Manufacturer and Retailer to fund multiple equipment vendors, many with milestone payments and 5-6 month installation periods
Equipment: knitting machines and garment making equipment utilized in the manufacture of quality clothing. Significant soft costs such as racking, shelving and a wide assortment of specialized machinery were included in the transaction.
Lessee: S&P CCC rated credit international fashion clothing and accessories manufacturer / retailer with $600MM in revenues
Transaction: $4.4 Tax Operating Lease
Highlights: The transaction was structured as an operating lease to fund multiple equipment vendors, many with milestone payments and 5-6 month installation periods.
The completion of this transaction illustrates CGCF’s broad funding capabilities; specifically the ability to fund an S&P CCC rated credit and managing a complex and rapidly evolving credit situation in a macro-economic climate unfavorable to the retail clothing industry. Despite these challenges, CGCF effectively managed all aspects of the funding process and completed the leases necessary for the Lessee’s continued growth.