Houston, Texas - Spray foam and coatings manufacturer LaPolla Industries Inc. has gained a $12.5-million credit facility with ComVest Capital lcc which will provide capital to support LaPolla's growth.
This increases LaPolla's revolving credit to $9.5 million from $5 million and its the convertible term loan to $3.0 million from $1 million. At the same time, Richard Kurtz, LaPolla's chairman, also contributed $2.0 million in equity to Houston-based LaPolla.
Praising ComVest's support as LaPolla promotes the conversion to foam insulation from traditional fibreglass for both commercial and residential construction, Douglas Kramer, president and chief executive officer of LaPolla, said in the company's 30 June announcement that the cash would help LaPolla grow.
LaPolla now has financial flexibility for its growth strategy and will be able to move into larger markets within the US, Kramer said. The business will grow organically and by acquisition of distributors of spray-foam insulation, he added.
"With its manufacturing capabilities, industry credentials and broad sales coverage, LaPolla has the assets and talent to be the premier spray foam insulation supplier," commented Gary Jaggard, managing director of ComVest Capital, in LaPolla's announcement.
LaPolla Industries makes spray polyurethane foam for insulation and coatings, targeting commercial and residential uses in the construction industry.