The Senior Secured Loan Program (SSLP), jointly managed by an affiliate
of Ares Capital Corporation (“Ares Capital”) and an affiliate of GE
Capital, announced on November 4, 2014 that during the third quarter it
closed 6 financing transactions, including refinancings of existing
portfolio companies, totaling $887.3 million. Since January 1, 2010, the
SSLP has committed approximately $16.8 billion to middle market
borrowers, including $2.5 billion across 19 transactions year-to-date
through September 30, 2014.
Below is a description of three of the transactions that closed during
the third quarter.
Atlantic City Linen Supply / Alvarez & Marsal Capital Partners
GE Capital Markets and Ares Capital served as joint lead arrangers and
joint bookrunners in a $92.6 million senior secured term loan and a
$20.0 million delayed draw term loan provided by the SSLP to support the
merger of Brady Linen Services with AC Linen, a portfolio company of
Alvarez & Marsal Capital, and the associated recapitalization of the
combined company. Brady Linen Services is the leading provider of
outsourced linen and laundry services to the Las Vegas hotel and gaming
industry. Brady and AC Linen combined to form the largest
hospitality-focused laundry in the country, processing over one million
pounds of laundry per day in 12 facilities across six states along both
coasts and the Bahamas. The company has a leading market position in
each of its core markets, including Las Vegas, Atlantic City, Boston,
Philadelphia and Connecticut.
Caliber Collision / OMERS Private Equity
GE Capital Markets and Ares Capital served as joint lead arrangers and
joint bookrunners in a $330.0 million senior secured term loan and a
$50.0 million delayed draw term loan provided by the SSLP and Ares
Capital to support the refinancing of existing debt and Caliber’s
acquisition pipeline. Founded in 1997 and headquartered in Lewisville,
Texas, Caliber Collision is one of the largest collision repair
companies in the United States, operating primarily in the southwest.
Tectum Holdings / TA Associates
GE Capital Markets and Ares Capital served as joint lead arrangers and
joint bookrunners in a senior secured term loan provided by the SSLP and
Ares Capital to support the acquisition of Tectum Holdings by TA
Associates. Tectum Holdings is the leading supplier of branded light
duty truck accessories for pick-up truck applications.
About Senior Secured Loan Program
The Senior Secured Loan Program was formed in December 2007 to invest in
the senior secured debt of middle-market companies. Its members are
comprised of Ares Capital Corporation and GE Global Sponsor Finance LLC.
The program is co-managed by GE Commercial Finance Investment Advisory
Services LLC and Ares Capital Management LLC and transactions require
approval by the individuals appointed by the members of the SSLP. The
SSLP has $11 billion of available capital and can hold up to $350
million in a single transaction for borrowers across a wide range of
industry sectors. The SSLP benefits borrowers by virtue of greater
speed, simplicity and certainty, with proven partners.
About Ares Capital Corporation
Ares Capital is a leading specialty finance company that provides
one-stop debt and equity financing solutions to U.S. middle market
companies, venture capital backed businesses and power generation
projects. Ares Capital originates and invests in senior secured loans,
mezzanine debt and, to a lesser extent, equity investments through its
national direct origination platform. Ares Capital’s investment
objective is to generate both current income and capital appreciation
through debt and equity investments primarily in private companies. Ares
Capital has elected to be regulated as a business development company,
and is externally managed by a subsidiary of Ares Management, L.P.
(“Ares Management”) (NYSE:ARES). Ares Management is a publicly traded,
leading global alternative asset manager with approximately $79 billion
of assets under management as of June 30, 2014. For more information,
visit www.arescapitalcorp.com.
However, the contents of such website are not and should not be deemed
to be incorporated by reference herein.
About GE Capital
GE Capital offers consumers and businesses around the globe an array of
financial products and services. For more information, visit www.gecapital.com
or follow company news via Twitter (https://twitter.com/GECapital).
GE (NYSE: GE) works on things that matter. The best people and the best
technologies taking on the toughest challenges. Finding solutions in
energy, health and home, transportation and finance. Building, powering,
moving and curing the world. Not just imagining. Doing. GE works. For
more information, visit the company's website at www.ge.com.
About GE Antares Capital
GE Antares is a unit of GE Capital. With offices in Atlanta, Chicago,
Los Angeles, Toronto, New York, and San Francisco, GE Antares is a
leading middle market lender, offering a “one-stop” source for GE’s
lending and other services offered to middle market private equity
sponsors. GE Antares was recognized by Private Debt Investor and Private
Equity International as 2013 Lender of the Year, North America and
Mid-Cap Lender of the Year, North America, respectively. For more
information, visit www.geantares.com.
About AC Linen
Founded in 1986, AC Linen provides one-stop laundry services for the
full suite of hospitality needs including housekeeping, spa and
restaurant linens, uniforms and valet processing. AC Linen acquired
Royal Hospitality Services, the market leader in Boston for outsourced
hospitality linen services, in early 2014. The combined company operates
24 hours per day, 7 days per week and 365 days per year, processing
approximately half-a-million pounds of laundry per day for leading
hospitality clients across five states, including New Jersey,
Pennsylvania, Connecticut, Rhode Island and Massachusetts. For more
information, visit www.aclinen.com.
About Brady Linen Services
Founded in 2000, Brady Linen Services is the leading outsourced provider
of linen services to the Las Vegas hotel and gaming industry. The
business provides an array of hospitality linen programs, including
housekeeping linens, food & beverage and banquet linens, uniforms, and
mats. For more information, visit www.bradylinen.com.
About Alvarez & Marsal Capital Partners
A&M Capital is a middle-market private equity firm with $600 million
under management which invests in established and profitable companies
that can benefit from the firm’s access to significant operating
resources. The firm has a strategic association with Alvarez & Marsal,
which gives it the distinctive capability to bring the exact management
or operational talent to the companies with which they partner, whether
interim, part-time or permanent resources are required. As such, their
experience with various kinds of businesses and ownership profiles
allows them to meet sellers’ objectives with mutually beneficial
transactions that specifically address the goals of existing
shareholders. The principals of A&M Capital have a combined 70 years of
experience executing private equity transactions in the middle-market
with this profile. For more information, visit www.a-mcapital.com.
About Caliber Collision
Caliber Collision Centers is one of the largest collision repair
companies in America with 197 I-CAR Gold Class Professional certified
collision repair centers across nine states including Arizona,
California, Colorado, Florida, Nevada, New Mexico, North Carolina,
Oklahoma, and Texas. Caliber is consistently ranked among the highest
customer satisfaction scores in the industry and backs all repair work
with a written, lifetime warranty available at any of its 197 repair
centers. For more information, visit www.calibercollision.com.
About OMERS Private Equity
OMERS Private Equity (“OPE”) makes private equity investments on behalf
of OMERS and manages over $6.5 billion of investments globally. The
group’s investment strategy includes the active ownership of businesses
in North America and Europe. OPE is headquartered in Toronto, Canada,
with offices in London and New York. For more information, visit www.omerspe.com.
About Tectum Holdings, Inc.
Tectum Holdings, Inc. is the holding company for Extang, TruXedo,
UnderCover, Advantage Truck Accessories, Retrax and BAK Industries
brands, leading manufacturers of tonneau covers for light duty trucks,
and BedRug, a pioneer in the development of bed liners. Today, THI’s
brands are recognized as the top brands in the U.S. light duty truck
aftermarket and leaders in product innovation. For more information,
visit www.thicorp.com.
About TA Associates
TA Associates is one of the largest and most experienced global growth
private equity firms. The firm has invested in more than 440 companies
around the world and has raised $18 billion in capital. With offices in
Boston, Menlo Park, London, Mumbai and Hong Kong, TA Associates leads
buyouts and minority recapitalizations of profitable growth companies in
the technology, financial services, business services, healthcare and
consumer industries. For more information, visit www.ta.com.
Copyright Business Wire 2014