CHARLOTTE, N.C. — May 23, 2023 — Elevate Textiles, Inc. (“Elevate” or the “Company”), a global provider of advanced, high-quality fabric and thread products and mission critical textile solutions, announced today that it has finalized terms of a recapitalization transaction that strengthens its balance sheet and enables Elevate to reinvest in its global operations to support the longevity of the business. With the support of all key financial stakeholders, Elevate’s financial foundation will be better aligned with its operational strengths and success of its brands as an industry leader for high-quality textiles. Elevate will be owned by a consortium of leading global investment firms, who will soon appoint a new Board of Directors.
The recapitalization will infuse $100 million of new capital into the business, eliminate $394 million of existing debt from the balance sheet, extend the Company’s debt maturities until 2027, including the existing ABL facility, and execute the change in ownership. While there is no anticipated impact on the Company’s global operations, these actions strengthen the Company’s capital structure and position Elevate to increase investments in its people, operations and critical growth initiatives for long-term success.
“We are pleased with the outcome of this recapitalization process which provides an improved balance sheet and reduced leverage to align with the strength and capabilities of our business and brands. We appreciate the support of our financial stakeholders who have demonstrated their confidence in Elevate, our business plan, and our future,” said Sim Skinner, President and Chief Executive Officer of Elevate. “We look forward to directing our focus on delivering the high-quality service and premium products our customers have come to trust and depend on.”
Representatives from Elevate’s new shareholders collectively added, “Elevate’s leadership team, skilled employees, high-quality products, and loyal customers make us confident that the Company will have continued success. We are excited to be part of the Company’s future and look forward to supporting and partnering with Elevate as an industry leader for years to come.”
Posted: May 23, 2023
Source: Elevate Textiles, Inc.