As companies look for unique and effective methods to generate capital and/or retire debt, an innovative, fast, and low-cost solution might be a Sale and Leaseback transaction.
Nexseer Capital structures Sale and Leaseback transactions (from $5MM – $50MM) for mid-sized and large companies that need to leverage the equity in current assets as a strategic way to generate liquidity to reinvest in growth, restructuring or simply providing a “capital cushion” for the business.
What is a Sale and Leaseback?
Simply put, an equipment Sale and Leaseback transaction enables companies to monetize existing assets (plant, equipment and machinery) through a variety of flexible lease structures.
What are the Benefits of a Sale and Leaseback?
An equipment sale and leaseback offers increased liquidity, optimized cash flow, and improved balance sheet presentation while allowing companies to reinvest that capital into higher ROI growth abd business strategies.
From Complexity to Clarity:
$1.1BN Revenue S&P B Rated Financial Services Company: 100% advance on FMV on internally developed software to generate cash to invest in business expansion generating a high IRR than tying up capital in these assets.
$170MM Revenue Privately Held Utility Service Company: As the company emerged from bankruptcy, they were looking to monetize assets at a greater advance rate than what was available through their ABL facility. A Nexseer Sale and Leaseback met their needs.
$200MM Revenue Publicly Held Energy Services Company: Replace traditional working capital facility and free up $200MM in additional inventory and reserves.