Frost Capital Group, a division of Cullen/Frost Bankers, Inc., a financial holding company headquartered in San Antonio, have set up an asset-based lending agreement with Electric & Gas Technology, Inc. (ELGT) and its operating subsidiaries Logic Metals Technology and Reynolds Equipment.
Daniel Zimmerman, president and CEO of ELGT, said, "Earlier this year as we began to experience rapid growth we found that our cash flow could not keep pace and our ability to support this growth rate was hampered. Frost used an innovative banking approach of allowing us to use receivables, inventory and some equipment to secure a new operating line. By doing this, Frost was able to offer us an asset-based lending agreement that is a little over twice the size of the operating credit line we had previously."
