Pioneer Balloon Partners with FGI to secure a Revolving Credit Facility and Term Loan
“From day one FGI has been dedicated to serving the needs of our business. Despite the many obstacles over the past year as a result of the pandemic, FGI’s commitment to a successful refinance never wavered. Throughout the process FGI was a flexible and supportive lending partner, providing additional accommodations to our structure that went above and beyond expectations. The team’s knowledge, mobility and creativity has proven them to be a dependable partner as we continue to nurture and grow Pioneer Worldwide.”
“CM&A is pleased to have worked with two such excellent companies in Pioneer Balloon and FGI Finance on the launch of their new finance relationship. Pioneer is an outstanding, established company with a global presence, and FGI offered significant world-class capabilities and a global scope to meet Pioneer’s needs. FGI’s commitment to understand its clients’ needs exemplifies its relationship-based approach to financing, which differentiates FGI from its competitors.”
Pioneer Worldwide has been a leading global manufacturer of quality latex and foil balloons for over 100 years. Pioneer’s Qualatex brand is recognized throughout the world and includes an extensive portfolio of products including latex, Microfoil®, and exclusive Bubble balloons, for the décor, entertaining, social expressions, and retail markets. The Company’s operations span ten offices and/or factories across four continents, providing best-in-class customer service and products to its loyal global customer base.
Pioneer experienced significant global expansion through a series of acquisitions as well as organic customer growth through constant innovation of its product offerings. Despite the industry experiencing some headwinds such as a worldwide helium shortage followed by a global pandemic, Pioneer successfully continued on its growth trajectory. However, Pioneer found itself unable to fully monetize its global assets into supporting working capital. The Company needed to find a lender that could not only consolidate its debt but also better support the company’s global footprint in the U.S., Mexico, Canada and the UK.
With its extensive expertise in cross border financing, FGI was able to structure a balanced combination of an operating revolver and a term loan supporting Pioneer’s working capital assets as well as their M&E and real estate across multiple locations in the U.S. and Mexico. Further, FGI demonstrated its flexibility and accommodated additional assets on short notice. As a result, Pioneer had both adequate working capital and satisfied its obligations to its incumbent lender. Today, Pioneer is well positioned to support its global affiliates, customers and vendors and continue taking on new growth opportunities as a leader in party and promotional balloons.