Acasta Enterprises Inc. announced that a subsidiary of Stellwagen Group Limited has entered into a revolving credit and security agreement with Morgan Stanley Asset Funding Inc. in the principal amount of up to $250 million. The Credit Agreement is secured by the portfolio of loans originally made by Stelloan Investment Company I DAC to various aircraft lessors. To date, Stellwagen has drawdown approximately $110 million under the Credit Agreement based upon the initial collateral base provided by the Stelloan Portfolio.
The proceeds from the Credit Agreement will be used to support Stellwagen’s ongoing initiatives, including the financing of growth opportunities, expanding the Stelloan Portfolio and repaying certain existing indebtedness of Stelloan.
“The Credit Agreement provides Stellwagen with additional capital to support its existing core business platforms and execute its growth strategy,” commented Anthony Melman, Chief Executive Officer of Acasta. “We are pleased to partner with Morgan Stanley and appreciate their confidence in Stellwagen’s business.”
The Credit Agreement contains customary representations, warranties and covenants.