Whiskey House of Kentucky Secures $145 Million in Long Term Capital

Most advanced contract distillery in the United States establishes long term senior debt funding arranged by Truist Securities and a syndicate of five banks

ELIZABETHTOWN, Ky., July 25, 2024 /PRNewswire/ -- Whiskey House of Kentucky, the most advanced contract distillery in the United States, announced today the successful close of a 5-year, $115 million syndicated credit facility from Truist Bank, U.S. Bank, First Horizon Bank, Rabobank, and CoBank (Lenders). Whiskey House commenced operations on July 1, and the financing closed on July 19, consisting of a $90 million Senior Secured Term Loan and a $25 million Revolving Credit Facility. The financing also provides flexibility to raise up to $50 million in additional funding as part of an incremental facility.

The proceeds of the financing will be used to refinance the company's existing construction loans, fund future growth expenditure of the company, and provide liquidity for working capital needs. Concurrent with the transaction, Whiskey House also received a 5-year commitment for approximately $30 million of junior capital.

"We could not be more excited by the successful completion of our recent capital raise," said Whiskey House co-founder and CEO David Mandell. "The magnitude of the deal and the support of some of the leading banks in the region not only demonstrates the strength of our business, the stability of our customers and contracts, and the confidence of our financial partners, but also provides us with immense flexibility to respond to our customers' needs. This includes the expansion of our production capacity, the addition of incremental services and the pursuit of complementary acquisitions."

"Whiskey House of Kentucky is at the forefront of innovation when it comes to production and technology, and the company is poised to change the industry for brands of all sizes," said Truist Beverage Industry Manager Joe Goode. "We saw the vision of the management team and Whiskey House of Kentucky early on, and this transaction leverages our regional banking and corporate finance teams alongside deep industry connectivity to create a unique financing structure that will propel this great company into the next phase of its growth."

Today's announcement comes on the heels of Whiskey House's successful start of production at the beginning of the month. The facility is greater than 100,000 square feet and boasts a highly sophisticated manufacturing system that runs on proprietary software. The facility is operating in full automation mode, 24 hours a day, seven days a week.

Truist Bank, U.S. Bank, First Horizons Bank, Rabobank and CoBank provided the Financing. Rothschild & Co served as the exclusive financial advisor to Whiskey House and assisted in arranging the Financing. Holland & Knight LLP acted as legal counsel to Whiskey House and Jones Day LLP acted as legal counsel to the Lenders.

View drone footage of Whiskey House here.

About Whiskey House of Kentucky:
Whiskey House of Kentucky is a state-of-the-art contract whiskey manufacturing facility, offering bespoke and premium Kentucky bourbon and American whiskey to customers at its 176-acre campus in Elizabethtown, Kentucky. As the first distillery designed from the ground up to focus solely on large-scale, flexible, contract whiskey production, Whiskey House's current capacity is 7 million proof gallons per year (112,000 barrels), with the potential to expand to more than 14 million proof gallons (224,000 barrels). Whiskey House has no brands of its own and a campus closed to the public, removing all potential conflicts of interest between the company and its customers. The team is hyper-focused on providing superior custom whiskey production, innovative liquid design, exceptional customer service, and the most competitive pricing for its exclusive branded clients. For more information, visit www.whiskeyhouse.com.

Contact: Sallie Greco
Sallie@EstesPR.com
(502) 614-5998

or Aubrey Stemle
Aubrey@EstesPR.com
(502) 614-5997
Estes Public Relations