Company Description:

• Tensar Lease Funding Corp. is a special purpose finance vehicle consolidated by Tensar Corporation, a U.S.-based multinational holding Company whose subsidiaries develop and manufacture an integrated suite of construction-related products and services that provide soil stabilization, earth retention, foundation support and erosion and sediment control for infrastructure end-markets.

Challenges Faced:

• Despite profitable operations, due to the combination of shifting market demand for construction services and the overhang of loan commitments from a prior capital restructuring, Tensar was unsuccessful at addressing imminent debt maturities through refinancing in either the high yield bond market or via a traditional bank debt. As a result, Tensar defaulted under its legacy loan obligations.

Solutions Provided by SOLIC Professionals:

• Engaged to provide financial advisory services to optimize the Company’s cost of capital, including an assessment of current projection model and business plan, and analysis of capital restructuring alternatives.
• Key activities included:
  • Evaluating and analyzing the cost of each layer of capital, and advantages and disadvantages under each capital restructuring alternative, including valuation analysis, debt capacity analysis and capital structure modifications.
  • Coordinating with outside legal counsel to prepare contingency plans for a possible in-court scenario, which was ultimately avoided.
  • Successfully negotiating a multi-party forbearance agreement, determining strategic restructuring alternatives, and advanced discussions to achieve a consensual out-of-court restructuring.

Result Highlights:

• Completed a capital restructuring of $280 million of senior debt and $100 million of subordinated debt.

Company Description:

• BLI Holdings Corp. was a contract manufacturer for the personal care industry with divisions in Santa Clarita, California and Dayton, New Jersey. Its two divisions – Bocchi Laboratories and Medicia Corp. – manufactured Paul Mitchell hair products, Victoria Secret body lotions, and other high profile personal care products.

Challenges Faced:

• The company was in monetary default of its senior credit facility due to the loss of significant customers, poor senior management and an excessive debt level.

Solutions Provided by SOLIC Professionals:

• Engaged by the Senior Lender to affect a capital reorganization including solicitation of a cash infusion.
• Subsequently, served as stakeholder representative implementing an operational turnaround.

Result Highlights:

• Successfully led the turnaround of both divisions increasing EBITDA from negative $4.8 million to positive $5.5 million over a three-year period.
• Following a three-year operational turnaround, SOLIC professionals served as the sell-side advisor in separate transactions for the two divisions, Bocchi Laboratories and Medicia Corp.
• The improved operational performance and successful sale of the divisions resulted in 30+% annual returns to the investor group during the nearly three-year holding period.

Company Description:

• The Budd Company was a former maker of auto parts and stainless steel passenger rail cars and related products.

Challenges Faced:

• The Company filed for bankruptcy protection to modify employee benefits.

Solutions Provided by SOLIC Professionals:

• Retained by the Executive & Administrative Retiree (the “Retiree Committee”) as financial advisor to assist the Retiree Committee to perform its duties under 11 U.S.C. §1114

Result Highlights:

• SOLIC professionals were instrumental and successful in analyzing key claims, inter-company transfers between the Debtor and its parent ThyssenKrupp North America, sources and uses of cash, and projected recoveries to various constituents;
• Identified and reviewed the financial impacts of various key causes of action that formed the basis for significant settlement discussions between various constituents; and
• Together with counsel, was instrumental in negotiations with the Debtor, its parent, and with other key constituents that resulted in a settlement agreement that provided for significant recoveries to Executive & Administrative Retirees well in excess of recoveries proposed in the Proposed Settlement Agreement filed by the Debtor at the onset of the Chapter 11 case.

Company Description:

• Ingersoll Machine Tools was a $210 million multinational supplier of special machine tools and cutting tools for metalworking industries, as well as the construction, agriculture and transportation industries.

Solutions Provided by SOLIC Professionals:

• Acted as financial advisor to Ingersoll’s senior secured lenders in connection with their $55 million secured bankruptcy claim

Result Highlights:

• SOLIC professionals developed a restructured collateral package and led negotiations with the international debtor resulting in the senior secured lenders realizing a 100% recovery from the sale of Ingersoll’s domestic and international operations through a Chapter 11 bankruptcy and §363 auction process.