Trimax Equipment Liquidation

9
EQUIPMENT LIQUIDATION CONFIDENTIAL

Transcript of Trimax Equipment Liquidation

Page 1: Trimax Equipment Liquidation

EQUIPMENT LIQUIDATION

CONFIDENTIAL

Page 2: Trimax Equipment Liquidation

This Private Placement Offering (the “Offering”) in the amount of $5,000,000.00 US is for Trimax LLC in the form of a line of credit secured via a lien against the modernized coil and leaf spring manufacturing equipment originally purchased for 55MM Euros in 2007/2008 by TES Group in Poland. Equipment was recently appraised at 30 000 000 Euro and will be acquired from an EU appointed Receiver. There is no public market for any securities of the Company, and no such market is expected to develop following this capital raise. Certain statements in this presentation are “forward-looking statements.” Some of the forward-looking statements may be identified by words like “expects,” “anticipates,” “plans,” “intends,” “projects,” “indicates,” and similar expressions. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. These forward-looking statements are not guarantees of future performance and involve a number of risks, uncertainties and assumptions. Accordingly, actual results or performance of our company may differ significantly, positively or negatively, from forward-looking statements made herein. Unanticipated events and circumstances are likely to occur. Factors that might cause such differences include, but are not limited to, those discussed under the heading “Risk Factors,” which you should carefully consider. These factors include, but are not limited to, risks that these land lease old blocks may not receive the projected success fees anticipated; anticipated funding may prove to be unavailable; volatile commodity prices may have an adverse affect on our business and/or our cost of doing business; intense competition in our market may result in lower than anticipated revenues or higher than anticipated costs; and general economic conditions, such as the rate of employment, inflation, interest rates and the condition of the capital markets may change in a way that is not favorable to us. This list of factors is not exclusive. We undertake no obligation to update any forward-looking statements. Although Trimax LLC has taken reasonable care in the preparation of this documentation, the information contained herein should be regarded as only indicative of what the actual position may be and the financial data set out herein are for illustrative purposes only. Trimax LLC nor any of its members or employees make any representations or warranty in relation to the accuracy or completeness of the documentation or any other written or oral information transmitted or made available in connection with the subject matter of this documentation, and accept no liability for any action which may be taken or mitted by any part in reliance heron. THE INVESTMENT IN THESE OFF-SHORE OIL BLOCK LEASE AGREEMENTS INVOLVES A HIGH DEGREE OF RISK. INVESTORS MUST BE PREPARED TO BEAR THE ECONOMIC RISK OF THEIR INVESTMENT FOR AN INDEFINITE PERIOD AND BE ABLE TO WITHSTAND A TOTAL LOSS OF THEIR INVESTMENT. SEE “RISK FACTORS.” THE OFFERING HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY APPLICABLE STATE OR FOREIGN SECURITIES LAWS, NOR HAS THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE OR FOREIGN REGULATORY AUTHORITY PASSED UPON THE ACCURACY OR ADEQUACY OF THIS MEMORANDUM OR ENDORSED THE MERITS OF THIS OFFERING. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL. THE INVESTMENT IS SECURED BY THE CONSIGNED OFF-SHORE OIL BLOCK AGREEMENTS. THIS IS NOT A SALE OF MEMBERSHIP UNITS IN TRIMAX, LLC. THE AGREEMENTS MAY NOT BE TRANSFERRED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND ANY APPLICABLE STATE AND FOREIGN SECURITIES LAWS OR AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY AND ITS COUNSEL THAT SUCH REGISTRATION IS NOT REQUIRED. THIS PROPOSAL IS SUBMITTED ON A CONFIDENTIAL BASIS FOR USE SOLELY IN CONNECTION WITH THE CONSIDERATION OF INVESTING IN THE OFF-SHORE OIL BLOCK AGREEMENTS AS THE SECURITY DESCRIBED HEREIN. THE RECEIPT OF THIS PROPOSAL CONSTITUTES THE AGREEMENT ON THE PART OF THE RECIPIENT HEREOF AND ITS REPRESENTATIVES TO MAINTAIN THE CONFIDENTIALITY OF THE INFORMATION CONTAINED HEREIN. THIS PROPOSAL MAY NOT BE REPRODUCED IN WHOLE OR IN PART AND ITS USE FOR ANY PURPOSE OTHER THAN TO EVALUATE AN INVESTMENT IN THE LAND LEASE OIL BLOCK AGREEMENTS IS NOT AUTHORIZED. NEITHER MAY THE CONTENTS OF THIS PROPOSAL BE COMMUNICATED TO ANY THIRD PARTY WITHOUT THE PRIOR WRITTEN CONSENT OF THE COMPANY. THE RECEIPT OF THIS PROPOSAL CONSTITUTES THE AGREEMENT ON THE PART OF THE RECIPIENT TO THE FOREGOING.

Not For Public DistributionTHIS DOCUMENT IS NOT AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY SECURITIES

.

Forward Looking Statements:

CONFIDENTIAL

Page 3: Trimax Equipment Liquidation

INTRODUCTION

Poland

INTRODUCTIONS

ABOUT TES GROUP

Since 1992, this company has been aleading manufacturers of coil and leaf springs in Poland. They have offered unrivalled production performance throughcontinuous improvement initiatives and use of the highest quality raw materials.In their production facility in Golczewo they manufacture leafs, springs and accessories for passenger, commercial and heavy-duty vehicles of nearly all brands. They have a strong market presence in 18 countries and are the only manufacturer of parabolic springs which has received international recognition.

ABOUT TRIMAX LLC

TRIMAX is a limited liability corporation that specializes in asset acquisitions with offices in Michigan and Florida. It is solely owned and operated by Daryl Repokis. Repokis is a renowned Detroit businessman and serial entrepreneur. He is most notable for owning and selling his interests in a heavy-equipment brokering business (Continental Press & Machinery) where he liquidated machinery for GM, Delphi, Textron and others for nearly 30 years. He also built and sold an automotive powder-coat painting company (CertiCoat) and a Tier 1 Stamping Plant (Manufacturers Products) estimated to be worth more than $80M prior to GM’s bankruptcy in 2008.

DARYL REPOKIS

CONFIDENTIAL

Page 4: Trimax Equipment Liquidation

Light Commercial Vehicles

Heavy-duty Trucks

Trailers

Customers:

CONFIDENTIAL

Page 5: Trimax Equipment Liquidation

PRODUCTSProducts:

CONFIDENTIAL

Page 6: Trimax Equipment Liquidation

In 2008 the company started building a new factory with financial support from the European Union in the amount of 14 000 000 ($18,620,000 US) combined with another 36 000 000 ($47,000,000 US) for a total of 50 000 000 Euro ($66,500,000 US). During this process the primary company shareholder, who was configuring the new highly automated equipment, had died. He was one, of only a handful of manufacturers, who had the knowledge of how to operate these machines.

The company was writing basic programs for operating the machines which prolonged the new factory startup for nearly 2 years. During that timeframe they continued have continued production on the older equipment in a separate building to fulfill orders from current customers. The newer automated equipment housed in a separate plant facility would enable the company to increase throughput from their current monthly run rate of $1.5MM Euros to as much as $3MM Euros -- $36MM Euros (10,000 tons) and as much as $50MM Euros (15,000) tons annually, while maintaining 30% margins.

In March 2011 the EU agreed to extend financial terms for their 14 000 000 Euro ($18,620,000 US) investment for 2 years. The company has paid down 50% of the outstanding principle and interest but then decided they would default on the loan as a renegotiation strategy with the EU but the bank refused to negotiate. As a result, the owners decided to let the equipment go into Receivership -- anticipating that there would not be any real competing bids and that they could submit a straw-man bid for a fraction of what is owed on the equipment.

The Receiver contacted Daryl Repokis of Trimax LLC to help liquidate the equipment. A bid deposit $110,000 US and Letter of Credit is due by May 9, 2016.

CONFIDENTIAL

Situation:

Page 7: Trimax Equipment Liquidation

Equipment ; $3,000,000

T&E ; $25,000

Legal; $30,000

Sales & Mktg; $540,000

Shipping & Setup; $185,000

Bid Deposit; $110,000

Financing Fees; $360,000

$5MM Equipment LOC Timeframe:

$110k in an escrow by May 9, 2016Letter of Credit by May 9, 2016Draw down on LOC May 30, 2016First P&I payment July 1, 2016

AB: Appraised Equipment

LTV: 42%

ROI:1,497%

NOTE: ROI calculation assumes your cost of funds at 1% Fed Discount Rate Per Annum for a total cost of $25,000 on $500,000.

Debt Capital:Draw Down:Net LOC Amount:APR:Term:Monthly Payments:ROI Amount:ROI Percentage:

$5MM US

85%

$4.25MM US

28%

6 Months

$641,527

$374,164

1,497%

EQUIPMENT FINANCING

ALLOCATION OF CAPITAL

Investment Summary:

CONFIDENTIAL

Month Payment Interest Principle Balance0 $4,250,000.001 $641,527.29 $99,166.67 $542,360.63 $3,707,639.372 $641,527.29 $86,511.59 $555,015.71 $3,152,623.673 $641,527.29 $73,561.22 $567,966.07 $2,584,657.594 $641,527.29 $60,308.68 $581,218.62 $2,003,438.985 $641,527.29 $46,746.91 $594,780.38 $1,408,658.596 $641,527.29 $32,868.70 $608,658.59 $800,000.00

USE OF FUNDS

Page 8: Trimax Equipment Liquidation

CONFIDENTIAL

Automated Coil and Leaf Spring Manufacturing Equipment:

Page 9: Trimax Equipment Liquidation

AUDITED EQUIPMENT LIST

See Separate Document

CONFIDENTIAL