Post Road Equipment Finance (“Post Road”) announced the successful completion of two landmark transactions in the premium label manufacturing sector, reinforcing its role as a trusted financing partner for industry leading companies across the middle and upper middle market.
Post Road finalized a $50 million lease line facility for a globally recognized manufacturer of pressure-sensitive labels, serving the health, food & beverage, industrial, and consumer sectors. The transaction comprises a $35 million sale-leaseback, providing immediate balance sheet liquidity, and a $15 million allocation for growth capital expenditures throughout the year. This structure enables the company to acquire state-of-the-art production equipment, enhancing manufacturing capacity and efficiency to meet growing customer demand. By preserving the company’s revolving credit facility, the transaction ensures liquidity for working capital and supports sustained operational flexibility.
In addition, Post Road provided a $20 million financing package to a leading designer and manufacturer of premium label solutions for the health, personal care, and food & beverage markets. The transaction includes a $5 million sale-leaseback, delivering swift liquidity upon closing, with the remaining $15 million allocated to finance new equipment purchases throughout the year. This investment will reduce production costs and expand manufacturing capabilities, supporting the company’s acquisition-driven growth strategy in a dynamic market.
“We are excited to partner with two of the industry leaders in the prime label solutions space and look forward to supporting their growth with tailored financing solutions as they scale organically and pursue opportunistic acquisitions in a highly fragmented market”, said Chris Demtschenko, Senior Vice President at Post Road.
Post Road was represented by Reed Smith LLP.
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