Productos Convil, S.A. de C.V.

Puebla, Puebla, Mexico

has been financed by

Banamex

Mexico City, Mexico

Capital Alliance Corporation initiated
this transaction and assisted in its closing.

Productos Convil, S.A. de C.V.

The Company: Productos Convil, S.A. de C.V. (Convil) is a manufacturer and distributor of pressure sensitive adhesive tapes. Convil has provided engineered solutions to the market since 1970, leveraging on its advanced manufacturing and proprietary technologies. Its strategy has not only positioned them as an industry leader, but also achieved profitable growth, while remaining a low cost producer that focuses on large niche markets. This company’s product portfolio offering consists of more than 600 products including cellophane, masking, duct and high performance specialty and automotive pressure sensitive tapes. In addition, the company has developed a top-of-the-line, complementary packaging tape and systems offering.

Why the Company Restructured its Balance Sheet: Convil was not inevitably in crisis; the company was generating sufficient cash flow to service existing debt, but the structure and pricing of liabilities were not in line with a solid long-term strategy. In order to stabilize their future plans and maximize cash flow for future growth, there was a specific need to address these Balance Sheet issues as soon as possible.

Capital Alliance’s Performance: In coordination with management and the Board of Directors, Capital Alliance assisted Convil in developing and executing a two year strategic plan which involves two stages. The first stage is aimed at selecting a strong financial partner that offered the best terms and conditions in revolving and long-term facilities. The second stage involves the implementation of a strategic alliance initiative to select global operational partners that reinforce existing capabilities and open new avenues for international expansion.

Terms of the Transaction: $5MM secured revolving working capital and 5 year term facilities.