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Pitney Bowes Financial Services Makes Growth Capital Investment in Medgluv, Inc

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Pitney Bowes (NYSE: PBI) has signed a new credit facility for Medgluv, Inc., a healthcare supply company headquartered in Florida. The funding aims to boost working capital and meet the rising demand for PPE and disposable medical gloves, which surged over the past two years.

Medgluv's revenue increased by over 600% from 2019 to 2021, reflecting robust growth during the COVID-19 pandemic. Although shipping and logistics costs have risen, the new facility offers flexible capital that enhances cash flow, crucial for their growth trajectory.

Positive
  • Medgluv experienced over 600% revenue growth from 2019 to 2021.
  • New credit facility provides necessary working capital to meet demand.
  • Flexible financing improves cash flow for Medgluv.
Negative
  • Rising shipping and logistics costs are impacting profitability.

Florida-based PPE firm signs new credit facility for next stage of growth

STAMFORD, Conn.--(BUSINESS WIRE)-- Pitney Bowes (NYSE: PBI), a global shipping and mailing company that provides technology, logistics, and financial services, today announced it has signed a new credit facility for Medgluv, Inc of Coral Springs, Florida. Medgluv, a manufacturer and distributor of healthcare supplies, has experienced a surge in demand of disposable medical gloves and PPE supplies over the past two years. Assurance supplies of PPE is key to all their customers in the Healthcare and industrial space. The new finance solutions will enable it to meet continuing demand and boost working capital to generate further growth.

Founded in 2001 by Jerry Leong, minority-owned business Medgluv grew revenue more than 600 percent from 2019 to 2021 as it worked hard to meet surging demand for personal protective equipment during the COVID-19 pandemic. During this time Medgluv had to grow rapidly at scale but remained firmly committed to delivering against the Healthcare Industry’s expectations. Rising shipping and logistics costs added pressure, as goods were shipped from ports to warehouses to clients’ sites.

“This is a critical time in Medgluv’s growth journey, but It has never been harder for businesses like ours to access affordable, flexible capital,” said Jerry Leong, President and Founder, Medgluv, Inc. “The team from Pitney Bowes Financial Services really understood our business and our need for a fast turnaround and flexible capital. Restructuring our debt has given us flexibility and has already had a positive impact on our cashflow.”

“Jerry is an inspiring leader of a fantastic business,” said Christopher Johnson, Senior Vice President and President, Pitney Bowes Financial Services and Board member of the Bank. “Medgluv is a on a rapid growth trajectory, but without working capital, costs could quickly spiral out of control. At Pitney Bowes, we have the commitment and ability to grow with Medgluv over time. Working with three quarters of a million small business clients has given us unique insight; we understand Main Street and the specific challenges faced by minority owned business. We’ve used this insight to craft a portfolio of financial products specifically designed to boost liquidity, free up working capital and drive down shipping and logistics costs.”

About Pitney Bowes

Pitney Bowes (NYSE:PBI) is a global shipping and mailing company that provides technology, logistics, and financial services to more than 90 percent of the Fortune 500. Small business, retail, enterprise, and government clients around the world rely on Pitney Bowes to remove the complexity of sending mail and parcels. For the latest news, corporate announcements and financial results visit https://www.pitneybowes.com/us/newsroom.html. For additional information visit Pitney Bowes at www.pitneybowes.com.

The Pitney Bowes Bank, Inc. (the Bank) is a subsidiary of Pitney Bowes Global Financial Services, LLC, which in turn is a subsidiary of Pitney Bowes Inc. The Bank is an FDIC insured Utah Industrial Bank located in Salt Lake City, Utah for over 23 years. The Bank has a nationwide lending and deposit footprint.

John Spadafora

Pitney Bowes

M +1 518 708 3466

john.spadafora@pb.com

 

Source: Pitney Bowes Inc.

FAQ

What is the recent credit facility announcement by Pitney Bowes involving Medgluv?

Pitney Bowes announced a new credit facility for Medgluv, aimed at supporting its growth and working capital needs.

How much did Medgluv's revenue grow from 2019 to 2021?

Medgluv's revenue grew by over 600% from 2019 to 2021.

What challenges is Medgluv facing according to the press release?

Medgluv is facing rising shipping and logistics costs, which may impact profitability.

Why is the new credit facility important for Medgluv?

The credit facility is crucial for enhancing cash flow and supporting the company's ability to meet high demand for PPE.

What is Pitney Bowes' role in Medgluv's growth?

Pitney Bowes provides financial services and support to enable Medgluv to access flexible capital for growth.

Pitney Bowes Inc.

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