CRANFORD, N.J.--(BUSINESS WIRE)--The Newark Group (www.newarkgroup.com), a leader in the collection of secondary fibers and the manufacturing and converting of 100% recycled paperboard in the U.S. and Canada, today announced that they have completed a $186 million refinancing transaction. The Company successfully raised debt financing consisting of an undrawn $50 million ABL Revolving Credit Facility, an $80 million 1st Lien Term Loan, and a $56 million 2nd Lien Term Loan.
“The successful completion of the refinancing represents a vote of confidence in Newark's strategic vision and represents another step in the Company’s operational and financial transformation.”
“This is a significant enhancement for the Newark Group. It permits the Company to invest in equipment, technology and talent,” said Frank Papa, Newark CEO and President. He added, “The refinancing increases the countless capabilities in paperboard design and functionality that we can offer our customers and vendors.”
Newark CFO Gregg Kam commented on the transaction stating, “The successful completion of the refinancing represents a vote of confidence in Newark's strategic vision and represents another step in the Company’s operational and financial transformation.”
Moelis & Company served as exclusive financial advisor on the transaction. Lowenstein Sandler LLP served as Newark’s legal advisor.
About The Newark Group
The Newark Group is a leader in integrated manufacturing of 100% recycled paperboard and paperboard products in the U.S. and Canada. The Company supplies the raw material used to produce products, making it a self-sustaining, environmentally sound company. The Newark Group serves a diverse market, offering raw materials to finished products. They are committed to providing customers with customized innovative products and superior customer service. Privately held for 100 years, The Newark Group is headquartered in Cranford, NJ, employs more than 1,500 and owns 34 facilities. It is a member of the Forest Stewardship Council (FSC), an international not-for-profit organization dedicated to promoting responsible management of the world’s forests.