Old Hill Completes a $7mm Senior Secured Term Loan secured by Water Rights - Old Hill Partners Inc

Old Hill Completes a $7mm Senior Secured Term Loan secured by Water Rights

Jul 12 2021

Darien, July 12, 2021

Old Hill Partners recently provided a $7 million senior secured term loan secured by water rights in the Western U.S.  We financed a real estate developer looking to warehouse water resources for a planned development project.  The financing served as a hedge against escalating prices for water rights.  It was priced with current and deferred interest components. This transaction arose as a sequel to a prior $11 million credit facility Old Hill provided to the company in 2019.

“We operate in a segment of the lending market that requires specialized knowledge and that is being avoided by large traditional banks due to post-crisis regulatory constraints. The firm’s experience in the asset-based lending (ABL) sector allowed us to execute on a transaction that offered a flexible financing solution for the borrower that is not available from traditional lenders. We worked very closely with the borrower to craft a custom transaction, secured by strong collateral, that aligned the interests of all involved,” said, Sam Adams, Senior Portfolio Manager at Old Hill.

Old Hill provides asset-based lending solutions for borrowers seeking $10 to $50 million in financing. The firm structures senior secured debt in the form of term, draw down, and revolving-to-term facilities of up to four years and loan-to-value ratios in the range of 35% to 85%. Collateral types include pools of loans or leases (specialty finance), receivables, inventory, machinery, and equipment.

Old Hill Partners Inc. is an alternative asset manager focused on asset-based lending transactions with small- and medium-sized businesses. As an SEC-registered investment advisor, we operate at the crossroads of investors seeking attractive risk-adjusted yields and emerging companies seeking capital for expansion, acquisitions, or growth.

 

Press Contact

Kim Hopkins
Investor Relations
Old Hill Partners Inc.
1120 Boston Post Road
Darien, Connecticut 06820
www.oldhill.com
Phone: 203 656 3004
info@oldhill.com