Institutional Grade Asset Class

The Mill Group Plants have a " Credit Risk" underlying structure.

Structural Provisions 

Bankruptcy Remote Special Purpose Entity to develop the project

Lock Box Arrangement to control the use of funds and revenue stream managed by a Global US Bank

The debt investors have a security lien on the assets/cash flow of the project

Revenue stream management prioritizes repayment of principal amortization, interest payments, accumulation of accelerated cash reserves for debt service (cash sweep)

Big 4 financial audit company to present monthly internal audit with an external audit in the beginning

Major global institution to produce quarterly Net Asset Valuation Reports

Operating Environment 

The project is economically, socially, and environmentally viable to develop as toilet tissue and paper towels are in high demand. Even in the unfortunate Covid19 Pandemic, tissue paper purchases have been strong that inventories cannot recover.

In addition to the tremendous demand for toilet tissue and paper towels, Mill Group NC will be the first Plant capable of converting our bulk parent rolls into custom branded toilet tissue and paper towels. This solution relieves a growing branding crisis in the huge hospitality industry that has run out of new guest products to label.  No other mill has this capability, and our efficiency provides this benefit at a non-branded cost.

The project qualifies for "Impact Investing" as it contributes to society in multiple ways while generating quantifiable revenues and profits. From an investor perspective, there is a great need for institutional capital to take positions and allocate a certain percentage of their portfolios to "impact investing" qualifying projects.

Third-party balance sheets back all 3 phases of the project, guarantees, and typical project finance covenants are in place, such as control of the use of funds, revenue stream, lockbox arrangements as well as the assurance of revenues with the global leader of the industry, 

Construction Phase has Lloyds of London portfolio of Insurance Policies that guarantee a definitive date of commence of operations with the A + credit of major insurance underwriters 

The Production / Operational phase is also guaranteed by Lloyd's of London panel of underwriters.

The commercial phase has a 12 year - take or pay type, off-take contract, wrapped by Lloyds of London A+ plus rated syndicates and insurance companies.

The project is expected to have a BBB+ or better rating