GB Merchant Partners Contributes to Term Loan to Applied Extrusion Technologies

Press Release
Boston, MA – The Debt Investment Group of GB Merchant Partners, the investment management affiliate of Gordon Brothers Group, announced today its participation in a portion of a Term Loan to Applied Extrusion Technologies, Inc. (“AET”). GB Merchant Partners provided $20 million of the $60 million loan. The financing provided by GB Merchant Partners enabled AET to refinance maturing debt.

“The contribution by GB Merchant Partners towards this loan enables us to clean up any new term maturities we had and focus on the future growth of our business” stated Brian Crescenzo, Chief Financial Officer, AET.

AET is a leading supplier of specialized oriented polypropylene (OPP) films in North America. OPP films are used to create flexible packaging for product labeling, food packaging, building products and a variety of additional products. The company has two production facilities in North America, one in Varennes, Canada and another in Terre Haute, Indiana.

“AET has a strong balance sheet and is a dominant player in the OPP film industry,” added Judy Mencher, President, Debt Investment Group, GB Merchant Partners. “We are honored to support them with the capital necessary to help position them for continued growth and success.”

About Applied Extrusion Technologies

AET is North America’s premier manufacturer of highly-engineered oriented polypropylene (“OPP”) films, with established leadership positions in a range of attractive market segments. The Company maintains one of the most extensive portfolios of value-added product capabilities in the market, offering specialty OPP films for a diverse range of applications including labels, flexible food packaging, non-food packaging and others.

About GB Merchant Partners

The Debt Investment Group of GB Merchant Partners (www.gbmerchantpartners.com), the investment management affiliate of Gordon Brothers Group, invests in structured and secondary debt. Structured debt investments in the form of senior, unitranche, second lien or mezzanine loans ranging from $5 to $50 million are made to middle-market companies in need of capital to effect strategic change. Target industries include aerospace, automotive, commodities, consumer products, forest products, gaming, industrial equipment, manufacturing, real estate, restaurants, retail, and wholesale/distribution.