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Crown Capital Announces Repayment of Petrowest Loan
Crown Capital Announces Repayment of Petrowest Loan Canada NewsWire CALGARY, Jun...
About this update from Crown Capital Partners, Inc.
[{"type":"text","content":"\n\n\n\nCrown Capital Announces Repayment of Petrowest Loan\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, June 20, 2018\n\n\n\nCALGARY, June 20, 2018 /CNW/ - Crown Capital Partners Inc. (\"Crown\" or the \"Corporation\") (TSX: CRWN), which provides growth capital to successful mid-market companies, today announced the full repayment by Petrowest Corporation (\"Petrowest\") of a special situations loan made by Crown Capital Fund IV, LP (\"CCF IV\"), an investment fund managed by Crown and in which Crown holds a 36.5% interest. \n\nCCF IV advanced $15 million to Petrowest in September 2015. As part of a financial restructuring, CCF IV and a syndicate partner advanced an additional $12 million to Petrowest in May 2017.  Petrowest was placed into receivership by its creditors in August 2017 and all of Petrowest's assets were offered for sale.  \n\nIn November 2017, as consideration for the acquisition of the assets of the Civil division from Petrowest, approximately $19.6 million of the loan was assumed by RBee Aggregate Consulting Ltd. (\"RBee\"). RBee, which has one of the largest mobile crushing fleets in Western Canada, is now 50% owned by the management of RBee and 50% owned by CCF IV and its syndicate partner. \n\nAs at March 31, 2018, the total amount owing by Petrowest to CCF IV and its syndicate partner included $7.4 million of loan principal as well as accrued interest and fees. Subsequent to quarter end, approximately $0.8 million of loan principal was reallocated from the RBee loan to the Petrowest loan due to final adjustments to the purchase price of the RBee assets, resulting in an outstanding principal amount owing by Petrowest to CCF IV and its syndicate partner of $8.2 million.\n\nSince March 31, 2018, CCF IV and its syndicate partner have received aggregate payments in respect of the Petrowest loan of $9.7 million representing full repayment of the principal amount owing, as well as all accrued interest and supplemental fees.  \n\nThe realized Gross IRR on CCF IV's aggregate investment in Petrowest was...