Consumer products company Aterian, Inc. has secured a $50 million asset-backed credit facility with MidCap Financial Trust.
At closing, Aterian repaid its existing $25 million term loan with High Trail in cash.
The financing from MidCap consists of $40 million in commitments and an accordion facility of an added $10 million, Aterian says.
“In the past five months, our team has worked tirelessly to turn around a challenging disruption to our business caused by the impact of the supply-chain crisis on our costs of shipping,” states Aterian CEO Yaniv Sarig.
Sarig adds that the firm is entering 2022 with a stronger balance sheet and preferred shipping rates from its logistics partners. In addition, it is pursuing organic and M&A-driven growth.
MidCap, a subsidiary of Apollo Global Management, Inc., has “a great deal of familiarity with Aterian stemming from financing the company at an earlier stage in its development,” states Garrett Fletcher, product head of asset-based lending for MidCap.