Houlihan Lokey Advises International Wire Group (5)
Houlihan Lokey is pleased to announce the successful placement of a $170 million debt financing for International Wire Group, Inc. (IWG), a portfolio company of Atlas Holdings LLC (Atlas). The transaction consisted of a $50 million revolver and $120 million senior secured term loan. Proceeds from the financing were used to refinance existing indebtedness, provide a shareholder distribution, and fund transaction-related fees and expenses. The transaction closed on December 18, 2020.
Formed in 1995, IWG is a leading manufacturer of mission-critical wire products for wire suppliers, distributors, and original equipment manufacturers. The company has unparalleled technical expertise and engineering capabilities to produce difficult-to-manufacture products ranging from complex, large-scale wires to specialty wire constructions. Headquartered in Camden, New York, IWG owns and operates 15 manufacturing facilities across the U.S. and Europe.
Headquartered in Greenwich, Connecticut, and founded in 2002, Atlas owns and operates 23 platform companies that employ approximately 40,000 associates across more than 250 facilities worldwide. The company primarily focuses on industrial sectors, including aluminum processing, automotive, building materials, capital equipment, construction services, food manufacturing and distribution, packaging, paper, power generation, printing, pulp, supply chain management, and wood products. In the aggregate, Atlas’s companies generate approximately $11 billion in revenues annually.
Houlihan Lokey served as the exclusive placement agent to IWG, assisting in arranging, structuring, and negotiating the financing. The firm was able to leverage competitive tension, along with its deep relationships with constructive capital providers, to secure an attractive financing package for the company, not only providing significant operating flexibility, but also upsizing the final debt quantum to provide a material shareholder distribution, despite material disruption to IWG’s operations from the COVID-19 pandemic. This represents the third transaction that Houlihan Lokey has closed for IWG, highlighting the firm’s ability to advise sponsor clients throughout the lifecycle of their investments.
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