STONEBRIDGE ASSOCIATES ADVISES PINGREE ASSOCIATES
on restructuring
BOSTON, Massachusetts—January 26, 2010—Pingree Associates (Pingree), a family-owned entity that represents and manages multiple timberland properties and hardwood processing facilities in northern Maine, recently retained Stonebridge Associates to develop and implement a financial restructuring strategy.
In 1999, an affiliated facility was established to process Pingree timber into a variety of hardwood products. Independently funded, the facility had overlapping, but not common, ownership with other Pingree operations and assets. Recently, challenging market conditions adversely affected facility operations, prompting Pingree to evaluate different restructuring options.
In its advisory role, Stonebridge worked closely with management teams from Pingree and the affiliated entity to perform an in-depth financial analysis of the processing operations, taking into account a variety of prospective scenarios for the hardwood products markets; evaluate multiple options to redeem debt; and recommend and implement a viable restructuring strategy. The solution involved forming a new wholly owned entity; extinguishing the former entity’s debt and restructuring its equity ownership; and adding a new, long-term financing source. As a result, the recapitalized company is now positioned to achieve growth and success as wood product markets begin to recover.
Steve Schley, President of Pingree, stated, "Stonebridge brought invaluable expertise and insight to this engagement—crafting a solution that allows us to benefit from integrated operations, reduced financing costs, and greater economies of scale."
About Stonebridge Associates
Stonebridge Associates specializes in providing merger and acquisition (M&A), divestiture, private placement, financial restructuring, and strategic financial advisory services to middle market, family-owned, and emerging growth companies. Applying industry experience and structuring expertise to every engagement, Stonebridge Associates develops creative solutions to help clients achieve superior outcomes. Since 1986, Stonebridge has closed over $3 billion in private financings and advised on over 300 M&A transactions and advisory assignments. Member FINRA/SIPC. For more information, please visit www.stonebr.com.
About Pingree Associates
Located in northern Maine, Pingree Associates represents the interests of a seventh-generation family enterprise that is composed of multiple entities which control significant timberland holdings and several hardwood processing facilities. The enterprise owns or manages more than one million acres of forestland in Maine, including the largest forestland conservation easement in the United States.
For additional information regarding this transaction, please contact:
Richard Harvey, President
rharvey@stonebr.com
or
Annette Vaughan, Principal
avaughan@stonebr.com
Ten Post Office Square, Suite 1330 Boston, MA
tel 617.357.1770 fax 617.357.4933 www.stonebr.com
Contact: Ginny Caggiano
VP, Marketing gcaggiano@stonebr.com