PNC Bank, N.A. announced the closing of two credit packages totally $79.5 million for Rental Equipment Investment Company LLC (REIC), an equipment rental company based in Miami, Florida; and Total Plastics, Inc. (TPI), a leading distributor and fabricator of plastic sheet, rod, tube, film and tape, headquartered in Kalamazoo, Michigan. Both companies will use the funds, in part, to finance acquisitions.
REIC is a rental equipment company formed from the completion of the following acquisitions: Midway Rental (Kalispell, Montana), Reliable Equipment Rental (Wheatland, Wyoming), Hillside Rental (Greeley, Colorado) and Pro Rentals and Sales, Inc. (Idaho Falls, Idaho). PNC provided a $34 million senior secured financing package to REIC which included a $30 million revolving credit facility, a $4 million term loan facility, and treasury management products and services. The financing will be used partially to fund the acquisition of Pro Rentals and Sales, Inc., as well as to refinance existing debt, to purchase new equipment and for general working capital purposes.
In addition, PNC provided $45.5 million in senior secured financing to TPI, a portfolio company of Prophet Equity Management, LLC, a Dallas-based private equity firm. The financing included a $27 million revolver, a $3 million capital expenditure line, and a $15.5 million term loan, jointly funded by Steel City Capital Funding, a division of PNC Bank. PNC will also provide treasury management and capital markets services. TPI will use the funds, in part, to finance the acquisition of Northeast Plastic Supply Company, Inc., to refinance existing debt and for general working capital purposes.
PNC is one of the largest diversified financial services institutions in the United States, organized around its customers and communities for strong relationships and local delivery of retail and business banking; residential mortgage banking; specialized services for corporations and government entities, including corporate banking, real estate finance and asset-based lending; wealth management and asset management.