DRAPER, Utah, Oct. 19 /PRNewswire/ -- Mazuma Capital, a leading national direct lender, announces today it has funded a $3.7 million dollar transaction for a privately owned company with revenues of nearly $15 billion. The company is an innovative leader in implementing environmentally advanced solutions, and in pioneering new green initiatives throughout the United States.
With environmental prospective at the forefront, one of the company's subsidiaries sought funding for fuel cells, that produce over 400KwH of electricity using biogas to reduce their carbon footprint and save on energy costs. The company was also able to take advantage of state and federal incentives offered for renewable energy projects.
An operating lease structure was an important objective as the subsidiary is responsible for its own P&L, separate from its fortune 500 Parent. The market for financing "new technologies," such as fuel cells, was unavailable to the organization from the many incumbent lenders they work with. The banks rejected funding for this initiative based upon their hesitation of the "new technology," and their lack of knowledge regarding the collateral.
Mazuma Capital's experienced underwriters brought their knowledge of the renewable energy industry, and their proven track record in securing funding for numerous "new technologies" to the table. Mazuma was able to structure the lease to meet the specialized tax and accounting requirements of the company.
"We are committed to carrying risk on emerging green technologies and providing solutions to complicated situations and structures. This transaction showcases these objectives and is a milestone achievement for both Mazuma and our customer," Jared Belnap, Mazuma's President & CEO said. "Our customer is a leading media conglomerate with great financial strength, but even their lead bank couldn't get comfortable with the collateral risk. Providing capital for the renewable energy sector will continue to be an area of growth and development for Mazuma as we remain committed to doing the right thing," said Belnap.
About Mazuma: Mazuma Capital is committed to our client's success. Our unique capabilities and innovative product offerings provide solutions accelerating financial growth. Servicing both rising companies and established businesses, Mazuma continues to secure its position as the middle-market industry leader. We build long-term relationships by delivering on our commitments. Mazuma co-authored the Utah Best Practices Alliance and subscribes to the ELFA Code of Fair Business Practices.
SOURCE Mazuma Capital