Winter Harbor LLC

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Debt Financing Placed for Pocono ProFoods

As featured in ABL Advisor, Winter Harbor was engaged to act as financial advisor to Pocono Product Company, Inc. (Pocono ProFoods), focused on assisting with the refinancing of Pocono’s current debt facility. Our professionals completed a comprehensive financial and operational review of Pocono and presented our assessment to potential lenders, which had been solicited by SSG Capital Advisors. The financing secured for Pocono was provided under a credit agreement extension with less restrictive covenants.

To read more about our involvement with Pocono ProFoods, continue below.


Posted with permission by ABL Advisor.

SSG Capital Advisors, LLC (SSG) acted as the investment banker to Pocono Produce Company, Inc., d/b/a Pocono ProFoods in the private placement of debt financing. The new facility will be used to refinance existing indebtedness, provide capital to fund ongoing growth initiatives and support other general corporate purposes. The transaction closed in December 2018.

Founded in 1940 and headquartered in Stroudsburg, Pennsylvania, PPF is a family-owned and operated broad-line food service distributor. PPF distributes over 8,000 products used in food preparation and food service areas to customers located throughout the Northeastern United States. The Company also offers culinary services to help customers sell more food profitably. PPF's customers include restaurants, schools, camps and military bases.

PPF experienced significant revenue growth in 2017 and 2018, driven primarily by several new national chain restaurant accounts. The Company also successfully implemented a number of operational initiatives in 2018 that positioned PPF for continued growth. However, the Company's capital structure did not provide adequate liquidity to fund its working capital requirements and increased operating costs associated with onboarding the new customers.

SSG was engaged to refinance the Company's existing debt and secure additional availability to fund the Company's current and long-term cash needs. SSG leveraged its broad network of capital providers and solicited interest from a targeted list of traditional and alternative lenders. After receiving multiple term sheets that met or exceeded the Company's requested terms, a $24.0 million facility comprised of an $18.0 million revolving line of credit (including a $1.5 million FILO tranche) and $6.0 million term loan was determined to be the best solution. SSG's deep market knowledge and execution capabilities resulted in a solution that maximized availability against PPF's assets while limiting borrowing costs, covenant restrictions and personal guarantees for the Company.

Other professionals who worked on the transaction include:

  • Stuart Noyes, Todd Michalik and Steven Sadowski of Winter Harbor LLC, financial advisor to Pocono Produce Company, Inc.;

  • Samuel H. Becker, Mallory M. Briggs and J. Dade Thornton of Blank Rome LLP, counsel to Pocono Produce Company, Inc.; and

  • John A. Decker, Michelle White Suarez, Kate M. Ferrara, Alyssa Keon and Marie Wooldridge of Holland & Knight LLP, counsel to New Lender.

Diana SalvucciABL Advisor