September 21, 2024
Business

Kent Inc. gets funding for two more weeks

BANGOR – For the third time in a month, Kent Inc. has received additional loans to keep open its Fort Kent mill for another two-week period while it continues negotiations with investors or buyers.

On Wednesday, Kent received a loan extension from its primary creditor, Century Business Capital Corp., to maintain current operating levels until March 14 while it fills orders for toddler and infant sleepwear.

“We have another two-week extension for me to basically reel in a deal,” Kent Inc. president Michael Gans said from his office in New York City. “I’m trying to finalize a handshake with one of six parties.”

Gans said most of the negotiations with investors or buyers include keeping “significant” employment levels in Fort Kent. He defined “significant” as meaning more than 100 workers.

In a memo to Kent’s 120 employees last week, Gans said one possible investor or buyer has visited the mill a few times in the past six months, and there are “synergies between his company and our company.”

“While there are no absolute guarantees available at this time, I am confident of our ultimate success,” Gans wrote in the memo.

Kent Inc. filed for Chapter 11 bankruptcy protection in December. The company currently has a two-year contract with Creative Apparel in Belfast to produce Kevlar jumpsuits for the U.S. Air Force, and orders under licensing agreements with Health-Tex and other brand names for blanket sleepers for toddlers and sleep-and-playwear outfits for infants.


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