FR EA
1005-00001 · Nexford Industrial Holdings · Diligence
due-diligence-status-tracker.xlsx DOCUMENT Finance & Banking
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Contract analysis Extract to table

[sheet: Cover]

FieldValue
Matter NameNexford Industrial Holdings Inc. — $1,400,000,000 Senior Secured Term Loan B Refinancing and Dividend Recapitalization
Matter Number1005-00001
Billing CodeIBL-NIH-2025-031
ClientNexford Industrial Holdings Inc.
BorrowerNexford Industrial Holdings Inc. (Delaware corporation)
SponsorGranite Peak Capital Partners, LP
Holdings / Direct ParentGranite Peak NIH Holdings, LLC
Administrative Agent / Collateral AgentCrescent Harbor Bank, N.A.
Existing Lender Agent (to be refinanced)Atlas Meridian Bank, N.A.
Facility Amount$1,400,000,000
Transaction TypeSenior Secured Term Loan B — Refinancing and Dividend Recapitalization
Target Closing DateMarch 28, 2025
Responsible PartnerClaudia Merritt
Billing PartnerIan Blackwood
Lead AssociateMarcus Leung
Tracker Maintained BySophie Tremblay
Date InitiatedFebruary 4, 2025
Last UpdatedMarch 20, 2025
Borrower's CounselCalderwood & Harkness LLP, 425 Lexington Avenue, New York, NY 10017
Agent's CounselWhitfield & Gage LLP (Margaret Ashby)
Sponsor's CounselKellner Brandt & Associates LLP (Patricia Voss)
Illinois Local CounselHargrove & Whitmore LLP (Robert Kimura)
Delaware Local CounselBriarcliff Legal Group PA (Catherine Ellsworth)

[sheet: DD Request Summary]

CategoryTotal Items RequestedItems ReceivedItems Under ReviewItems Reviewed & CompleteItems Outstanding% CompleteC&H Lead ReviewerNotes
A. Corporate / Organizational Documents28280280100%Sophie TremblayAll org docs received and reviewed; good standing certificates ordered for closing
B. Existing Credit Facilities12120120100%Marcus LeungExisting Credit Agreement (June 14, 2019) and all four amendments reviewed; payoff letter received from Atlas Meridian Bank, N.A. (Sandra Vickers)
C. Existing Indenture / Senior Unsecured Notes66060100%Marcus LeungIndenture dated November 8, 2021 ($250M 7.250% Senior Unsecured Notes due 2028; Pinnacle Trust Company as trustee) reviewed
D. Material Contracts1818117094%Marcus LeungOne contract amendment under final review; all change-of-control provisions analyzed
E. Litigation / Contingent Liabilities88080100%Marcus LeungReview memorandum dated February 26, 2025 finalized
F. Real Property / Title / Survey16160160100%Sophie TremblayFour mortgaged properties: Schaumburg, IL ($85M); Rockford, IL ($42M); Greenville, SC ($38M); Houston, TX ($28M). Total appraised: $193M. Greystone Valuation Services (Daniel Pritchard) appraisals received.
G. Environmental66060100%Sophie TremblayPhase I ESAs by Clearwater Environmental Sciences (Dr. Nathan Foley) reviewed for all four properties
H. Insurance88080100%Sophie TremblayProgram reviewed per Vantage Risk Advisors (Rachel Sorensen); P&C carrier: Continental Shield Underwriters; D&O carrier: Meridian Specialty Insurance Co.
I. Intellectual Property77070100%Sophie TremblayUSPTO and Copyright Office lien searches completed; IP schedule confirmed
J. UCC / Lien Searches14140140100%Sophie TremblaySearches across DE, IL, PA, SC, TX, MI. Existing Atlas Meridian UCC-1s identified for termination
K. Tax10100100100%Sylvia HartwellTax structure, Section 163(j), withholding/FATCA, and state/local mortgage recording analyses complete
L. Regulatory / Compliance (OFAC, Anti-Corruption, Sanctions)66060100%Marcus LeungOFAC screening completed; no Sanctioned Persons identified; compliance memo dated February 27, 2025
M. Financial Statements / Auditor Materials88080100%Marcus LeungLTM financials as of 12/31/2024 received; auditor: Ashworth & Kendrick LLP (Helen Yamamoto, CPA)
N. Labor / Employment55050100%Sophie TremblayApproximately 8,400 employees; no material labor issues identified
O. Canadian Subsidiary / Cross-Border44040100%Marcus LeungNexford Canada Holdings ULC (BC) and Nexford Canada Manufacturing, Inc. (Ontario) structure reviewed; CFC holdco pledge limited to 65% voting / 100% non-voting
TOTAL1561561155099%—One material contract amendment under final review; all other items complete

[sheet: A - Corporate Org Docs]

Item #DD Request ItemEntity / SubsidiaryJurisdictionRequested DateDate ReceivedSource / ProviderC&H ReviewerReview StatusReview Completion DateComments / Notes
A-01Certificate of Incorporation (certified copy)Nexford Industrial Holdings Inc.Delaware2/4/20252/7/2025Priya Mehta / DE Secretary of StateSophie TremblayComplete2/10/2025DE File No. 5765432; EIN 36-4178552
A-02Bylaws (current, as amended)Nexford Industrial Holdings Inc.Delaware2/4/20252/7/2025David Engstrom (GC)Sophie TremblayComplete2/10/2025
A-03Certificate of Formation (certified copy)Granite Peak NIH Holdings, LLCDelaware2/4/20252/8/2025Ryan Ostrowski / Kellner Brandt & Associates LLPSophie TremblayComplete2/11/2025DE File No. 7234891; EIN 85-3291047; registered at c/o Penmark Industries, 1209 Orange Street, Wilmington, DE 19801
A-04LLC Agreement (current, as amended)Granite Peak NIH Holdings, LLCDelaware2/4/20252/8/2025Ryan OstrowskiSophie TremblayComplete2/11/2025Holdings is 100% owner of Nexford; 92% owned by Granite Peak Capital Fund IV, LP and 8% by GP Fund IV Co-Invest, LP
A-05Certificate of IncorporationNexford Precision Components, Inc.Delaware2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025Subsidiary Guarantor; address: 2750 Commerce Drive, Rockford, IL 61101
A-06Certificate of FormationNexford Engineered Systems, LLCDelaware2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025Subsidiary Guarantor
A-07Certificate of IncorporationNexford Coatings & Surface Technologies, Inc.Delaware2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025Subsidiary Guarantor; address: 9100 Westpark Industrial Blvd, Houston, TX 77063
A-08Certificate of OrganizationNexford Manufacturing Services, LLCIllinois2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025Subsidiary Guarantor; organized under Illinois law; address: 1400 Industrial Parkway, Schaumburg, IL 60173
A-09Certificate of FormationNexford Properties, LLCDelaware2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025Real property holding entity; Subsidiary Guarantor
A-10Certificate of IncorporationNexford International Holdings, Inc.Delaware2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/13/2025CFC Holdco; Subsidiary Guarantor; limited pledge (65% voting, 100% non-voting equity in Nexford Canada Holdings ULC)
A-11Certificate of Registration / Constating DocumentsNexford Canada Holdings ULCBritish Columbia2/4/20252/12/2025Priya MehtaMarcus LeungComplete2/15/2025Foreign subsidiary — NOT a guarantor; address: 1055 West Georgia St, Suite 1500, Vancouver, BC V6E 4N7
A-12Articles of IncorporationNexford Canada Manufacturing, Inc.Ontario2/4/20252/12/2025Priya MehtaMarcus LeungComplete2/15/2025Foreign subsidiary — NOT a guarantor; address: 400 Industrial Road, Mississauga, ON L5T 2R3
A-13Certificate of IncorporationClearfield Tool & Die, Inc.Pennsylvania2/4/20252/11/2025Priya MehtaSophie TremblayComplete2/14/2025Subsidiary Guarantor; acquired 2021; address: 175 Clearfield Avenue, Clearfield, PA 16830
A-14Certificate of IncorporationSummit Industrial Fabrication Co.South Carolina2/4/20252/11/2025Priya MehtaSophie TremblayComplete2/14/2025Subsidiary Guarantor; acquired 2022; address: 820 Summit Drive, Spartanburg, SC 29303
A-15Certificate of FormationRidgepoint Specialty Coatings, LLCTexas2/4/20252/11/2025Priya MehtaSophie TremblayComplete2/14/2025Subsidiary Guarantor; acquired 2023; address: 9100 Westpark Industrial Blvd, Houston, TX 77063
A-16Certificate of IncorporationLakeshore Precision Engineering, Inc.Michigan2/4/20252/11/2025Priya MehtaSophie TremblayComplete2/14/2025Subsidiary Guarantor; acquired 2024; address: 3200 Lakeshore Blvd, Muskegon, MI 49441
A-17Good standing certificates — all Loan PartiesAll Loan Parties (13 entities)DE, IL, PA, SC, TX, MI2/4/20252/18/2025Sophie Tremblay (ordered from SOS)Sophie TremblayComplete2/20/2025Certificates to be refreshed within 5 business days of closing; bring-down ordered for March 27
A-18Board resolutions — Nexford (authorizing refinancing and dividend)Nexford Industrial Holdings Inc.Delaware2/4/20252/14/2025David EngstromMarcus LeungComplete2/17/2025Adopted January 13, 2025; to be certified as of closing date
A-19Manager/Member resolutions — Holdings (authorizing guarantee and pledge)Granite Peak NIH Holdings, LLCDelaware2/4/20252/14/2025Ryan OstrowskiMarcus LeungComplete2/17/2025Adopted January 13, 2025
A-20Board/Manager resolutions — each Subsidiary GuarantorAll 11 Subsidiary GuarantorsVarious2/4/20252/20/2025Priya Mehta / David EngstromSophie TremblayComplete2/24/202511 sets of resolutions; authorizing guarantee and security documents
A-21Incumbency certificates — all Loan PartiesAll Loan PartiesVarious2/4/20252/18/2025David EngstromSophie TremblayComplete2/20/2025Key signatories: James Thornton (CEO), Michelle Kaplan (CFO), David Engstrom (GC & Corp Sec), Priya Mehta (VP Treasury)
A-22Equity ownership / capitalization records — Nexford and HoldingsNexford / HoldingsDelaware2/4/20252/10/2025Ryan OstrowskiMarcus LeungComplete2/13/2025Holdings owns 100% of Nexford; Fund IV owns 92% of Holdings, Co-Invest LP owns 8%
A-23Subsidiary equity ownership records — all direct and indirect subsAll subsidiariesVarious2/4/20252/12/2025Priya MehtaSophie TremblayComplete2/15/2025100% domestic sub equity pledged; 65% voting / 100% non-voting for first-tier foreign subs (NCH ULC)
A-24LP Agreement — Granite Peak Capital Fund IV, LPGranite Peak Capital Fund IV, LPDelaware2/4/20252/9/2025Patricia Voss (KB&A)Marcus LeungComplete2/12/2025For sponsor structural diligence only
A-25LP Agreement — GP Fund IV Co-Invest, LPGP Fund IV Co-Invest, LPDelaware2/4/20252/9/2025Patricia Voss (KB&A)Marcus LeungComplete2/12/2025Co-investment vehicle; 8% equity in Holdings
A-26LLC Agreement — Granite Peak Capital GP IV, LLC (GP of Fund IV)Granite Peak Capital GP IV, LLCDelaware2/4/20252/9/2025Patricia Voss (KB&A)Marcus LeungComplete2/12/2025Fund IV GP; managing partners: Derek Calloway, Vanessa Liu
A-27Foreign qualification filings — all entities qualified in other statesVariousVarious2/4/20252/14/2025Priya MehtaSophie TremblayComplete2/18/2025Nexford qualified in IL; various subs qualified in operating states
A-28Corporate organization chart — complete group structureAll entities—2/4/20252/10/2025Priya MehtaSophie TremblayComplete2/10/2025Initial chart prepared 2/10/2025; updated 3/15/2025 to reflect final entity structure

[sheet: B - Existing Credit Facilities]

Item #DD Request ItemDescriptionRequested DateDate ReceivedSource / ProviderC&H ReviewerReview StatusReview Completion DateComments / Notes
B-01Existing Credit AgreementCredit Agreement dated June 14, 2019, among Nexford, the Guarantors, Atlas Meridian Bank, N.A. as Admin Agent and Collateral Agent, and the Lenders2/4/20252/7/2025David EngstromMarcus LeungComplete2/12/2025Governs $875M first lien term loan and $190M revolver
B-02First Amendment to Credit AgreementFirst Amendment dated March 20, 20202/4/20252/7/2025David EngstromMarcus LeungComplete2/12/2025
B-03Second Amendment to Credit AgreementSecond Amendment dated November 8, 20212/4/20252/7/2025David EngstromMarcus LeungComplete2/12/2025Contemporaneous with Senior Unsecured Notes issuance
B-04Third Amendment to Credit AgreementThird Amendment dated April 15, 20232/4/20252/7/2025David EngstromMarcus LeungComplete2/12/2025
B-05Fourth Amendment to Credit AgreementFourth Amendment dated September 12, 20242/4/20252/7/2025David EngstromMarcus LeungComplete2/12/2025Waived prepayment premium on existing term loan
B-06Existing Security Agreement and related collateral documentsAll security, pledge, and collateral documents under existing facilities2/4/20252/8/2025David EngstromMarcus LeungComplete2/15/2025Liens to be released at closing; UCC-3 terminations to be filed
B-07Existing Guarantee AgreementGuarantee by Holdings and Subsidiary Guarantors in favor of Atlas Meridian2/4/20252/8/2025David EngstromMarcus LeungComplete2/15/2025To be released at closing
B-08Existing UCC Financing Statements in favor of Atlas MeridianAll UCC-1 filings across DE, IL, PA, SC, TX, MI2/4/20252/10/2025Sophie Tremblay (lien search results)Sophie TremblayComplete2/18/2025UCC-3 terminations to be prepared and filed post-closing (March 31, 2025)
B-09Existing Mortgages (if any) in favor of Atlas MeridianAny recorded mortgages on Nexford properties2/4/20252/10/2025David EngstromSophie TremblayComplete2/15/2025Existing mortgages on Schaumburg and Rockford properties identified; to be released
B-10Payoff letter — Atlas Meridian Bank, N.A.Payoff letter for existing first lien term loan2/4/20253/25/2025Sandra Vickers (Atlas Meridian Bank)Marcus LeungComplete3/25/2025Payoff amount: $879,375,000 ($875M principal + ~$4,375,000 accrued interest); revolver $0 drawn, commitment to be terminated
B-11Lien release authorization letter from Atlas MeridianAuthorization to release all liens upon payoff2/4/20253/27/2025Sandra VickersMarcus LeungComplete3/27/2025Prepared by C&H; executed by Atlas Meridian March 27, 2025
B-12Evidence of existing term loan outstanding balance and interest calculationsLoan statements, amortization schedule, interest accrual2/4/20252/14/2025Priya Mehta / Atlas MeridianMarcus LeungComplete2/17/2025Confirmed $875M principal outstanding; maturity June 2026; revolver maturity June 2025

[sheet: C - Existing Indenture]

Item #DD Request ItemDescriptionRequested DateDate ReceivedSource / ProviderC&H ReviewerReview StatusReview Completion DateComments / Notes
C-01IndentureIndenture dated November 8, 2021, among Nexford, the Guarantors, and Pinnacle Trust Company as Trustee; $250,000,000 7.250% Senior Unsecured Notes due 20282/4/20252/8/2025David EngstromMarcus LeungComplete2/14/2025Notes NOT being refinanced; subject to intercreditor arrangement
C-02Supplemental Indentures (if any)Any supplements or amendments to the Indenture2/4/20252/8/2025David EngstromMarcus LeungComplete2/14/2025None identified
C-03Incurrence covenant analysisReview of permitted indebtedness baskets under the Indenture2/4/20252/8/2025David EngstromMarcus LeungComplete2/14/2025Confirmed $1.4B Term Loan B permitted under incurrence test
C-04Restricted payment covenant analysisReview of restricted payment baskets under the Indenture2/4/20252/8/2025David EngstromMarcus LeungComplete2/14/2025~$335M dividend permitted under builder basket
C-05Change of control provisions under IndentureReview of change of control put and cross-default triggers2/4/20252/8/2025David EngstromMarcus LeungComplete2/14/2025Indenture change of control triggers cross-default under new Credit Agreement
C-06Trustee contact / notice informationPinnacle Trust Company contact details2/4/20252/10/2025David EngstromSophie TremblayComplete2/12/2025Pinnacle Trust Company, 101 Park Avenue, New York, NY 10178

[sheet: D - Material Contracts]

Item #DD Request ItemContract Counterparty / DescriptionEntityRequested DateDate ReceivedSource / ProviderC&H ReviewerReview StatusReview Completion DateChange of Control / Consent Required?Comments / Notes
D-01Top 10 customer agreementsVarious customers — Precision Components, Engineered Systems, Industrial Coatings & Surface Technologies segmentsNexford and subsidiaries2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/25/2025No change of control triggers identifiedRevenue breakdown: Precision Components 52%, Engineered Systems 31%, Industrial Coatings & Surface Technologies 17%
D-02Top 10 supplier agreementsVarious suppliersNexford and subsidiaries2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/25/2025No material issues
D-03Joint venture agreements (if any)None identifiedN/A2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/25/2025N/ANo JV agreements
D-04Real property leases (non-owned facilities)Leases for 10 non-mortgaged manufacturing facilitiesVarious subsidiaries2/4/20252/16/2025Priya MehtaSophie TremblayComplete2/25/20252 leases contain consent-to-assignment provisions; review memo notes no assignment triggered by this transaction14 total manufacturing facilities; 4 owned (mortgaged), 10 leased
D-05Equipment leases and capital lease agreementsVariousVarious subsidiaries2/4/20252/16/2025Priya MehtaSophie TremblayComplete2/25/2025No material issuesCapital leases within $50M permitted basket
D-06Sponsor management agreement / monitoring fee arrangementGranite Peak Capital Partners, LPNexford2/4/20252/10/2025Ryan Ostrowski / Patricia Voss (KB&A)Marcus LeungComplete2/18/2025No consent required$4,500,000 annual management fee (included in EBITDA add-backs)
D-07Acquisition agreements (Clearfield, Summit, Ridgepoint, Lakeshore)Stock/asset purchase agreements for bolt-on acquisitionsNexford2/4/20252/18/2025Priya MehtaMarcus LeungComplete2/25/2025No continuing obligations triggeredClearfield (2021), Summit (2022), Ridgepoint (2023), Lakeshore (2024)
D-08Intercompany agreements / notesIntercompany loans Nexford to subsidiariesNexford and subsidiaries2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/20/2025N/AIntercompany note to be pledged to Collateral Agent at closing
D-09Amendment to key supply agreementAmendment to long-term raw materials supply contractNexford Precision Components, Inc.2/4/20253/10/2025Priya MehtaMarcus LeungUnder Review—Reviewing change of control and assignment provisionsFinal review expected by March 22, 2025
D-10IT services and software licensing agreementsEnterprise software and IT service contractsNexford Industrial Holdings Inc.2/4/20252/14/2025Priya MehtaSophie TremblayComplete2/25/2025No material issues
D-11Distribution and logistics agreementsThird-party logistics and distribution contractsNexford and subsidiaries2/4/20252/16/2025Priya MehtaMarcus LeungComplete2/25/2025No material issues
D-12Technology licensing agreements (outbound)Licenses of Nexford proprietary technology to third partiesNexford Engineered Systems, LLC2/4/20252/18/2025Priya MehtaMarcus LeungComplete2/25/2025No change of control triggers
D-13Government contracts and subcontractsU.S. government and defense subcontractsNexford Precision Components, Inc.2/4/20252/16/2025Priya MehtaMarcus LeungComplete2/25/2025No material issuesLimited government contract exposure
D-14Non-compete and non-solicitation agreementsPost-acquisition non-competes from bolt-on sellersNexford2/4/20252/18/2025Priya MehtaMarcus LeungComplete2/25/2025N/AStandard non-compete provisions; no material issues
D-15Hedging and derivative agreementsInterest rate and commodity hedging contractsNexford Industrial Holdings Inc.2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/25/2025No material issuesExisting interest rate swaps to be unwound at closing
D-16Warranty and indemnification agreementsProduct warranty and indemnification obligationsVarious subsidiaries2/4/20252/18/2025Priya MehtaSophie TremblayComplete2/25/2025No material issuesStandard warranty provisions
D-17Consulting and professional services agreementsMaterial consulting and advisory engagementsNexford and subsidiaries2/4/20252/20/2025Priya MehtaSophie TremblayComplete2/25/2025No material issues
D-18Shared services agreements (intercompany)Shared services between Nexford and subsidiariesNexford and subsidiaries2/4/20252/14/2025Priya MehtaMarcus LeungComplete2/25/2025N/AOrdinary course shared services; no third-party consents required