Great Rock Capital Closes $31.7 Million Term Loan Facility with SMG Industries, Inc.

Capital to support strategic acquisition

WESTPORT, Conn., July 25, 2023 /PRNewswire/ -- Great Rock Capital, an asset-focused commercial finance company specializing in middle market lending, announced today the closing of a $31.7 million senior secured term loan facility with SMG Industries, Inc. ("SMGI"), a publicly traded company (OTCQB: SMGI). SMGI is a growth-oriented transportation services company focused on the domestic infrastructure logistics market.

The term loan was used to finance a strategic acquisition and merger of the Barnhart Transportation group of companies ("Barnhart"), a 20-year-old established logistics service provider. Great Rock partnered with the revolver lender, a leading commercial banking institution, to create a financing structure that will maximize the company's liquidity. 

"Great Rock customized a structure that increased liquidity by optimizing the value of our fixed assets to support the acquisition and successful merger of Barnhart," commented Matt Flemming, CEO of SMGI. "We are excited about our new financial partnership and what it entails for the future growth of our platform."

"The team's combined expertise and focus on superior customer service will propel this business to new levels of growth," said Stuart Armstrong, CEO of Great Rock Capital. "We look forward to working with this experienced management team as they capitalize on this milestone and expand their industry footprint."

About Great Rock Capital
Great Rock Capital is an asset-focused commercial finance company that specializes in serving the needs of middle market companies across the United States and Canada. The Company provides fast, flexible, and creative financing solutions that maximize liquidity and provide growth capital. The senior secured credit facilities offered by the firm range in size from $10MM to $75MM and include working capital, term-heavy, and term-only loan structures not provided by traditional commercial lenders.  The firm has significant capital commitments from its partners, a private equity business and a large institutional investor. To learn more, visit www.greatrockcapital.com.

About SMG Industries, Inc.  
SMG Industries is a growth-oriented transportation services company focused on the domestic infrastructure logistics market. Through several of the Company's wholly-owned subsidiaries branded as the "5J Transportation Group," it offers specialized heavy haul, super heavy haul, flatbed, brokerage, and drilling rig mobilization services. 5J's engineered permitted jobs can support up to 500-thousand-pound loads including infrastructure cargo associated with bridge beams, wind energy, power generation components, compressors, refinery and construction equipment. SMG Industries is headquartered in Houston, Texas and has facilities in Floresville, Hempstead, Henderson, Houston, Odessa, Palestine, Victoria, Texas and Fort Mill, South Carolina. Read more at  www.5J-Group.com and www.SMGIndustries.com.

SMG Industries acquired the Barnhart Transportation group of companies on July 7, 2023.  The total acquisition consists of Barnhart Transportation, LLC, Barnhart Fleet Maintenance, LLC, Lake Shore Logistics, LLC, Lake Shore Global Solutions, LLC, Legend Equipment Leasing, LLC and Route 20 Tank Wash, LLC, which specializes in a wide range of transportation services, including full truck load, dry bulk, liquids, intermodal, LTL, heavy haul, drayage, transload, and an "asset lite" brokerage business.

Great Rock Capital Contact:
Jenn Cronin
Managing Director, Marketing and Business Development
(203) 557- 6277
cronin@greatrockcapital.com

SOURCE Great Rock Capital