Case Summary: Intelligent Global Pooling Systems (iGPS)

Intelligent Global Pooling Systems (iGPS)

$20 million secured credit facility

Overview

Founded in 2006, Intelligent Global Pooling Systems (iGPS) is the operator and owner of the world’s first and largest global plastic pallet rental pool, featuring lightweight, 100% recyclable plastic pallets. It operates from a robust network of depots serving over 100 manufacturers and 2,000 retailers.

Opportunity

After experiencing losses due to poor operational and cost controls, the company was forced to file for Chapter 11 bankruptcy protection. Balmoral Funds, as an interested investor, reached to Crystal to provide its financing.

Solution

Crystal initially provided a $12.0 million DIP facility to support the business through its reorganization process. A group of investors consisting of Balmoral Funds, a private equity firm focused on investing in corporate carve-outs, restructurings and other special situations, One Equity Partners, certain of their affiliates and new management formed a joint venture, iGPS Logistics, LLC, to acquire the company via a 363 asset sale process. Crystal then provided a $20.0 million facility to support the acquisition. Both transactions included advance rates against the A/R as well as their pool of pallets. The business is now positioned with the capital it needs to support continued operations and fuel growth.

“You guys were more than just a traditional lender. Thanks for your hard work, network and business sense!” - Robin Nourmand, Principal, Balmoral Funds LLC. “This process was never easy or pretty, but with your patience and support, we got to the right answer. On many occasions you both went well above and beyond the call of duty. We recognize it and we appreciate it. It’s often said that something “couldn’t have been done without you” but in this case it’s very much an understatement.” - Jonathan Victor, Managing Director, Balmoral Funds LLC