BALA CYNWYD, Pa.--(BUSINESS WIRE)--Less than a year after the successful financial restructuring of its debt and equity, PaperWorks Industries, Inc. (“PaperWorks Industries” or the “Company”) has pre-paid a significant portion of its term loan incurred in February 2018, in the amount of $18.8 million principal amount or 16.5%. In solidifying this transaction, the Company continues to focus on growth and strategic opportunities, as has been previously stated.
Additionally, PaperWorks Industries has provided notice to noteholders under the indenture governing its Senior Secured Notes due 2019 (“the notes”) that the company will be redeeming $4.4 million in notes on March 4, 2019. This redemption represents all notes outstanding.
“The restructuring and the continued strengthening of our business has enabled us to reduce our outstanding debt and set the stage for 2019,” said C. Anderson “Andy” Bolton, President and Chief Executive Officer of the Company.
PaperWorks Industries continues taking strong steps to further increase liquidity and maximize value for stakeholders.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements represent management's current expectations and are based upon information available to the Company at the time of this press release. Statements in this press release that are not historical or current facts are "forward-looking statements." Such forward-looking statements include statements using words such as "anticipate," "expect," "believe," "continue," "will," "may," "estimate," "assume," "presume," "pursue," "outlook," "plan," "goal," "milestone" and similar expressions. Such statements are subject to a number of risks, uncertainties and assumptions that may cause actual results, developments, or achievements to differ materially from those projected or implied in these statements including, but not limited to, potential limitations on the Company’s ability to maintain contracts and other critical business relationships; risks associated with general economic and business conditions; requirements for adequate liquidity to fund its operations in the future, including obtaining sufficient financing on acceptable terms; other matters related to its indebtedness; and the risk factors and known trends and uncertainties described in the Company’s most recent periodic reports provided to Noteholders.
Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not intend to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities laws.
About PaperWorks Industries, Inc.
PaperWorks Industries is a leading, integrated North American full-service provider of recycled paperboard and specialized folding cartons for packaging applications. The company specializes in providing folding carton solutions for a wide variety of market sectors including food, beverage, personal care, pharmaceuticals, nutraceuticals and medical devices and is also known for its state-of-the art, extended color gamut printing capability which creates shelf-differentiating graphics.
PaperWorks has invested more than $47 million over the past three years to upgrade its paperboard mills and folding carton converting plants and is committed to the highest sustainable forestry and procurement standards. Product certifications include the Forest Stewardship Council (FSC) and 100% Recycled Paperboard Alliance (RPA100). For more information, please visit: www.paperworksindustries.com.
