Your web browser is out of date. Update your browser for more security, speed and the best experience on this site.

Update your browser

Case Studies

OFS International LLC

Manufacturing and Industrial

Adobe Stock 189415027


  • OFS Inter­na­tion­al LLC (the Com­pa­ny”) is an oil­field ser­vices and equip­ment com­pa­ny pro­vid­ing well cas­ing pipe, thread­ing, cou­plings, inspec­tion, repair, acces­sories and field services
  • 2018 rev­enues reached $170 MM with $20 MM in EBIT­DA but began to decline from loss of licensed thread­ing IP and the down­turn in ener­gy prices, with neg­a­tive EBIT­DA begin­ning dur­ing late 2019
  • Chi­ron was engaged as Invest­ment Banker and Finan­cial Advi­sor in July 2020, after the com­plete ener­gy price collapse
  • At engage­ment, the Com­pa­ny had $95 MM of lia­bil­i­ties includ­ing $35 MM of secured debt in two sep­a­rate financ­ings, one a JPMor­gan Chase ABL and one a financ­ing secured by real estate


  • As Finan­cial Advi­sor, Chi­ron suc­cess­ful­ly nego­ti­at­ed mul­ti­ple for­bear­ance agree­ments with cred­i­tors and rec­om­mend­ed oper­a­tional and cap­i­tal sav­ings, reduc­ing costs $210,000 per month; by 4Q2020 the Com­pa­ny returned to pos­i­tive EBITDA
  • As Invest­ment Banker, Chi­ron obtained term sheets suf­fi­cient to replace the lega­cy secured lenders
  • By March 2021, Chi­ron suc­cess­ful­ly posi­tioned the Com­pa­ny for an out-of-court restruc­tur­ing before a non-bank cred­i­tor thwart­ed this plan
  • Chi­ron imme­di­ate­ly piv­ot­ed to suc­cess­ful­ly arrang­ing DIP financ­ing with­in a 21-day dead­line; pro­vid­ing pro­ceeds to refi­nance Chase’s ABL as well as oper­a­tional liq­uid­i­ty dur­ing a Chap­ter 11
  • Dur­ing the Chap­ter 11, Chi­ron con­tin­ued its Finan­cial Advi­so­ry and Invest­ment Bank­ing ser­vices and suc­cess­ful­ly arranged exit financ­ing from mul­ti­ple financ­ing sources
  • The Company’s Plan Effec­tive Date was Jan­u­ary 32022

The Chi­ron team is very knowl­edge­able, reli­able, and ser­vice-ori­ent­ed. They know our invest­ment strat­e­gy well and only approach us with lend­ing oppor­tu­ni­ties that make sense for us. Togeth­er we have worked hard to tai­lor solu­tions for their clients, and we look for­ward to fur­ther suc­cess­es in the future.” — Nick Hart, Pres­i­dent of Sal­ly­port Com­mer­cial Finance

Chi­ron pro­vid­ed vital finan­cial advi­so­ry and invest­ment bank­ing ser­vices that pre­served OFSi as a going con­cern. They guid­ed us through a series of com­pli­cat­ed, time-sen­si­tive trans­ac­tions begin­ning with an out-of-court restruc­tur­ing agree­ment; quick­ly arrang­ing DIP financ­ing when the out-of-court was thwart­ed; advis­ing us through­out Chap­ter 11 and arrang­ing exit financ­ing; final­ly achiev­ing a Plan Effec­tive Date of Jan­u­ary 3, 2022.” — Alex­ei Rat­nikov, CFO

Download 2

The Challenge

2018 revenues reached $170 MM with $20 MM in EBITDA but began to decline from loss of licensed threading IP and the downturn in energy prices, with negative EBITDA beginning during late 2019.

The Chiron Solution

As Investment Banker, Chiron obtained term sheets sufficient to replace the legacy secured lenders.

The Result

During the Chapter 11, Chiron continued its Financial Advisory and Investment Banking services and successfully arranged exit financing from multiple financing sources

Is your com­pa­ny per­form­ing like it should?