AloStar Business Credit has provided a $15 million senior secured revolving credit facility to Advanced Environmental Recycling Technologies (AERT), a recycler of polyethylene plastic and manufacturer of composite building materials. The secured credit facility consists of an $8 million revolving line of credit and a $7 million term loan.
Founded in 1989, AERT is headquartered in Springdale, AK and is a leader in providing sustainable customer solutions. The company is a recycler of polyethylene plastic and waste wood fiber, which is converted into a non-wood alternative building material used in decking, door and window components, and exterior trim for residential and commercial buildings.
The company’s primary product, ChoiceDek decking and accessories, is sold via national building product distributors and retailers. AERT won the EPA’s Environmental Excellence Award for its process of converting scrap plastic to composite outdoor decking.
In 1992, AERT introduced composite decking materials made from recycled wood fibers and polyethylene plastic that resist swelling, rotting and termites under the name MoistureShield. MoistureShield products are produced with a 50/50 blend of recycled wood fibers and plastic. AERT’s products save approximately 2.7 million pounds of waste from entering the country’s landfills each year.
“Advanced Environmental Recycling Technologies is widely recognized as a leader in resource conservation and innovation,” said Andy McGhee, president of AloStar Business Credit. “Our plan is to support AERT’s financial needs as it grows its core business.”
AERT recently opened a new plastic recycling, cleaning and reformulation facility in Watts, OK where it intends to develop, market and sell recycled resins and green fillers to third party companies, in addition to its products. The company also continues to operate a plastic recycling, blending and storage facility in Lowell, Ark. and leases warehouses and land for inventory storage.
Advanced Environmental Recycling Technologies, Inc. is a recycler of polyethylene plastic and waste wood fiber used as non-wood alternatives for building materials, both residentially and commercially.
AloStar Business Credit provides asset-based lending products nationwide to businesses ranging between $20 million and $300 million in revenue and with financing needs ranging between $5 million and $20 million. AloStar Business Credit is the asset-based lending arm of AloStar Bank of Commerce.