Nordhausen, November 24th, 2016
Nordhausen (Germany) based FEUER powertrain Group has successfully expanded its working capital financing by adding an ABCP (Asset Backed Commercial Paper) program. An ABCP is an agreement on the revolving sale of trade receivables, whereby the purchase of such receivables is refinanced by the purchaser via the issuance of short-term, receivables-backed notes in the so-called “Commercial Paper” market. In addition to increasing liquidity and payment security this also ensures attractive financing costs to the company. The program, which was set up by Commerzbank AG for FEUER powertrain Group, initially comprises a volume of about EUR 30m across a EUR and a USD tranche offering further financing flexibility for the envisaged growth in Germany as well as the already initiated production ramp-up of its facility in Tunica, Mississippi (US).
ARGONAS Corporate Finance Advisors acted as exclusive financial advisor to FEUER powertrain Group.