Industrials | Debt & Equity Recapitalizations

Valley Proteins Completes Financing

  • Valley Proteins, Inc. is one of the nation’s largest independent renderers and recyclers of fats and proteins for animal nutrition markets
  • Valley, a private company owned and managed by the third generation of its founding family, initially retained TM Capital several years ago when commodity price movements affected operating results
  • At that time, TM Capital assisted Valley in a debt restructuring which significantly reduced cash interest expense and retained 100% equity ownership for the family
  • Capitalizing on the company’s improved performance and robust financial market conditions, TM Capital has arranged $135 million of new debt financing to repay all of Valley’s existing indebtedness
  • The refinancing included $125 million of syndicated senior credit facilities on favorable terms and $10 million of subordinated debt on an attractive interest only basis

Client Testimonial

TM Capital has served as financial advisor to Valley Proteins, Inc. since 1999. During this time TM Capital has assisted our organization with two restructurings and one refinancing. We consider these transactions to have been successes since the Smith family was able to retain 100% of the equity in the Company through each transaction. Valley Proteins has always been given a top priority when TM Capital's services were required. We have found the TM Capital team to be responsive to our needs and creative with their suggested solutions. We consider them a partner in the successful recovery of Valley Proteins.”
 Gerald F. Smith, Jr., President, Valley Proteins