Interplex Nascal, Inc., the parent corporation of Gateway Circle, LLC (“Gateway”) has been a leader in the manufacturing of precision stamped product for the connector, electronic and telecommunications industries since 1969.
Gateway sought to finance and/or refinance, the acquisition, construction and equipping of a manufacturing facility located at 15777 Gateway Circle in the City of Tustin, California for use by Interplex Nascal, Inc.
Solution and Execution
GATES Capital was engaged by Gateway to structure and underwrite a $5 million tax-exempt variable rate industrial development bonds through the California Statewide Communities Development Authority, as conduit issuer. GATES Capital’s financing strategy leveraged an existing relationship that INTERPLEX had with a specific financial institution. GATES worked with this institution to negotiate fair letter-of-credit terms and covenants. With this letter-of-credit in place, GATES Capital successfully sold the bonds to money market investors.