International Aluminum Restructures
As aluminum prices rise, private equity firm Genstar International guides one of its assets through Chapter 11.
January 5, 2010
International Aluminum Corp., the company that Genstar Capital Partners took private in 2007, filed for voluntary Chapter 11 Tuesday and looks to restructure more than 70% of its debt.
At press time, it was unclear what the new company’s restructured ownership would look like. Calls seeking comment were not returned and International Aluminum did not disclose which lenders would take a stake in the company going forward.
The company, based in California, provides through its commercial and residential divisions, products used in construction of homes, stores and other buildings; its extrusion operations prepare aluminum to be used in outdoor conditions. Between the impact of the growing price of aluminum and International Aluminum’s being headquartered in the state that is perhaps the epicenter of the US homes price crisis, the company was affected by a “severe decline” in revenue during an “unprecedented downturn,” it said.
The company listed assets and liabilities in the range of $100m to $500m. The company will continue to complete orders and maintains a strong cash position, it declared in a statement.
Moelis & Company is serving as financial advisor; Weil, Gotshal & Manges is serving as legal counsel to the International Aluminum and its subsidiaries in connection with the restructuring. In North America, the company operates under the labels United States Aluminum, Raco Interior Products, International Window, and International Extrusion.
Genstar’s 2007 buy of International Aluminum took the NYSE-listed company private at the very height of the buyout boom for $228 million.
For more information on related topics, visit the following:
