IBC Advanced Alloys Enters into Master Lease Agreement with Utica Leaseco LLC and Utica Equipment Finance, LLC
October 04, 2021 at 05:02 pm EDT
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IBC Advanced Alloys Corp. announced that it has entered into a new master lease agreement among Utica Leaseco LLC and Utica Equipment Finance, LLC and certain of the company’s U.S. subsidiaries in support of the company’s ongoing expansion and consolidation of its Copper Alloys production facility in Franklin, Indiana. Pursuant to the Lease, the Subsidiaries will grant a security interest in certain equipment located on the Lessees’ premises in exchange for USD 900,000 in connection with a capital lease facility for a four-year term. IBC intends to use the proceeds of the Lease to advance the Copper Alloys consolidation and expansion and for working capital purposes. The Subsidiaries will make lease payments in 51 monthly installments of approximately USD 24,389.80, with monthly lease payments increasing by 1.0% for every 0.25% increase to the prime rate of Comerica Bank. Pursuant to the terms of the Lease, the Subsidiaries will pay aggregate fees and expenses consisting of an approximately USD 18,000 origination fee + USD 43,200 for legal, appraisal, and title expenses at close, and an annual lease administration fee of USD 5,000. The Lease is also subject to an early termination fee ranging from 5%-1% of the total funding amount, which decreases over the term of the Lease. The Lease is further subject to customary terms for similar lease arrangements in the United States manufacturing sector.
IBC Advanced Alloys Corp. is a beryllium and copper advanced alloys company. The Company serves various industries, such as defense, aerospace, automotive, telecommunications, precision manufacturing, and others. The Company has two divisions: Copper Alloy and Engineered Materials. The Copper Alloys division manufactures and distributes a variety of copper alloys as castings and forgings, including beryllium copper, chrome copper, and aluminum bronze. The Engineered Materials division makes the Beralcast family of alloys, which can be precision cast and are used in an increasing number of defense, aerospace, and other systems, including the F-35 Joint Strike Fighter. The Companyâs products include Beryllium-Aluminum Castings, Beryllium Alloys, Copper Alloy Castings & Forgings, Copper Alloy Fabricated Shapes, Tolling Services and Consulting and Thermal Mold Super. It has production facilities in Indiana and Massachusetts.
IBC ADVANCED ALLOYS CORP. 
