Periculum Capital Company, LLC (“Periculum”) is pleased to announce that it has completed the placement of a $140,000,000 three-year Revolving Loan for Central States Enterprises, LLC (“CSE” or the “Company”). The loan contains an expansion feature that allows the Company to increase the facility to a maximum of $210,000,000.
Headquartered in Heathrow, Florida, CSE has significant grain origination operations in Indiana, as well as an animal feed and cross country trading division in Florida. Periculum has been CSE’s exclusive Financial Advisor for nearly a decade, completing multiple debt placements, a minority equity sale, and periodic treasury management assignments. For this particular deal the Company needed to renew its revolving line of credit. CSE wanted to maintain a multi-year structure that would meet its highly-seasonal working capital needs in a volatile commodity market that is only now recovering from the 2012 drought and is still being affected by the sluggish global economic environment. Periculum successfully advised the Company on how best to position and market its story in order to receive highly competitive market pricing and terms from multiple participant banks. Periculum’ s role included reviewing competitive bank proposals that provided terms suitable to the Company’s needs, working with participant banks, and assisting in the closing negotiations and documentation. As a result of Periculum’s efforts, Central States obtained a three-year revolving facility with an Agent Bank and bank group capable of supporting the Company’s working capital needs and long-term growth initiatives.
Central States' activities in the domestic grain markets involve extensive rail and river barge shipments, covering virtually all areas of significant corn and soybean production in the United States. The Company’s sources of grain include its own Indiana based grain terminal facilities, farmer cooperatives, and other corporate and privately owned terminal facilities. The Company’s clients include large poultry and hog integrated operations, commercial feed mills, corn and soybean processors, ethanol producers, flour millers, Canadian and Mexican grain consumers, and export operators in the Gulf of Mexico.
Securities transactions are performed through and under the supervision of Periculum Capital Markets, LLC. Member FINRA* and SIPC**. Disclosures Form CRS
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