NEWMARKET, Ontario—AirBoss of America Corp. has entered a series of new credit facilities, a move that allows for aggregate financing of up to $180 million, the company said.
The finalized move, co-arranged by Toronto-Dominion Bank and Canadian Imperial Bank of Commerce, and including a non-revolving term loan facility provided by Great Rock Capital Partners L.L.C., provides necessary financial flexibility for the company's strategic transition, president and co-CEO Chris Bitsakakis said.
"We are excited to work with our new team of financing partners, as we continue our goal of transforming AirBoss into a global market leader in the custom rubber compounding market and the industries which we serve," Bitsakakis said in a statement. "We believe the new credit facilities are in the best interests of our shareholders and other stakeholders as they will enable us to continue focusing on long-term growth and creating sustainable value."
The Newmarket-based rubber compounder and finished goods manufacturer initially announced its strategic restructuring at the end of 2023. The process began with the consolidation of all AirBoss rubber compounding operations into one business segment, now known as Airboss Rubber Solutions. Likewise, the firm's other unit, AirBoss Manufactured Products, supplies a variety of anti-vibration and rubber-molded goods to the North American automotive market and a variety of goods supplied through its AirBoss Defense operations
The company is still "working diligently" on the overall transition process as of Q3 2024, officials said. While no completed transactions have been promised, and no timeline has been given, the company is confident that it will leave no stone unturned, it said.
"While no specific transactions are imminent or expected to occur in the near term, AirBoss continues to explore potential strategic divestitures as well as the potential monetization of its real estate assets," the company said in a statement.
