SC&H Capital was retained by Aphena Pharma Solutions (“Aphena” or the “Company”) to recapitalize its balance sheet. The Company, a contract pharmaceutical manufacturing and packaging company backed by a private equity sponsor, had grown the business dramatically and planned a large-scale consolidation after purchasing a 465,000-square-foot facility. Cost overruns, delays with FDA certification, and other issues negatively impacted the Company’s cash flow and raised concerns with the existing lender.
SC&H Capital quickly determined the debt capacity of the business, and strategically positioned Aphena for a lender solicitation, resulting in multiple term sheets to close within the required timeline set by the incumbent lender.
SC&H Capital negotiated with lenders on Aphena’s behalf to drive optimal terms for the borrower. A favorable term sheet was signed, and in less than 30 days from execution, the incumbent lender was refinanced within the required timeline. The equity position of stakeholders was improved as a result of the restructuring, and the Company received additional working capital for future growth.
