Midland Fabricators and Process Systems LLC has acquired a 90% interest in Unifab International Inc. for $10 million that is outstanding currently on the offshore-facility fabricator's senior secured credit facility. Midland also will convert the approximately $12.6 million remaining outstanding under Unifab's credit line into senior secured debt due 2007 and guarantee $7 million of new senior secured credit for the company. "This transaction substantially improves our overall balance sheet and, particularly, our working capital and financial foundation," says Peter Roman, Unifab chief financial officer and interim chief executive officer. Midland is owned by William A. Hines, a Unifab director from 1998-2001, and his family. Hines, who has become Unifab's chairman, owns a number of oil-service companies. Allen C. Porter, a founder of Allen Tank Inc., will become president and CEO of Unifab and president of Allen Process Systems LLC. William Downey, a former vice president and chief operating officer at Gulf Island Fabrication Inc., will become executive vice president and COO of Unifab and president of Universal Fabricators LLC. Midland received 738 shares of preferred stock. It intends to convert the preferred into 73.8 million Unifab common shares when issuing additional common equity is authorized. The senior secured debt will be convertible, at Midland's option, into Unifab common stock at a price of 35 cents per share.