Adler Hot Oil Service

Investment Amount: $2,750,000
Oilfield Services
Investment Date: October, 2017
“CapX Partners managed the refinance of Adler’s loan quickly and efficiently. We are pleased to have CapX on our team, supporting Adler’s continued growth.”Stacy Harmsen, Managing Director, Spell Capital
Financing Opportunity

Adler is a leading oilfield services company providing heating services for oil and gas well sites. Headquartered in Vernal, Utah, the company operates a fleet of truck-based heating units that serve top-tier oil & gas companies operating in the Niobrara and Bakken basins. Heating services are employed to enhance the effectiveness of frac drilling of new wells and for the routine maintenance of producing wells.

When Adler’s financial sponsor Spell Capital Mezzanine Partners (Spell) sought a balance sheet refinance, the investment fund called on CapX Partners. Spell’s primary refinance motive was to reposition Adler for future growth.  CapX provided Adler more execution runway via extended loan maturity and a customized amortization schedule, which aligned with the seasonal cash flows of Adler’s business.

CapX was familiar with Adler, having previously provided a $2.0mm lease line of credit to finance purchase of equipment necessary to support existing customer relationships.

CapX Solution

Spell selected CapX because of its existing relationship and knowledge of Adler, CapX’s ability to move quickly, and certainty of close.

“Spell’s investment and stewardship of Adler has been impressive, and we’re pleased to deliver continued support to Spell and its portfolio company.”  Peter W. Washington, Director, CapX Partners