Abacus Finance Group served as Administrative Agent and Sole Lead Arranger for $16 million in senior secured credit facilities to support the recent acquisition of Dexmet Corporation by Sverica International. In addition to providing the senior financing Abacus also made an equity co-investment in Dexmet.
“From our perspective, Abacus was an ideal partner for this transaction,” said Sverica Managing Director David Finley. “They know the aerospace industry, have experience in niche manufacturing, and were able to offer us certainty of close at an early stage in our negotiations. The team at Abacus was very easy to work with, which allowed us to close the transaction quickly.”
Dexmet Corporation is a developer and manufacturer of highly engineered expanded foils and polymers used in a variety of end markets. The company’s products are used in a range of applications including lightning strike protection for major composite aircraft manufacturers, anodes and cathodes for advanced battery technologies and supportive materials for filtration and automotive applications. The company was founded in 1948 and is headquartered in Wallingford, CT (www.dexmet.com).
“We have known Sverica for a long time and have explored several transactions with them over the years,” said Tim Clifford, President and CEO of Abacus. “When we were finally able to partner with them, they were terrific to work with. Once again, the factors critical to success were our flexibility with respect to transaction structure, our rapid execution, and our ability to provide certainty of close – important aspects of what we call our Total Partnership Approach.”
Other Abacus team members involved in the transaction included Mindy Naylor and Robby Abraham.
Abacus targets debt financing opportunities of up to $50 million with a typical hold size ranging from $10 million to $25 million. The companies Abacus finances generally have EBITDAs between $3 million and $15 million. Abacus was formed in June 2011 and is an affiliate of New York Private Bank & Trust, the holding company for Emigrant Bank, founded in 1850, the largest privately held bank in America with approximately $10 billion in assets. Abacus is based in New York (www.abacusfinance.com).
Mezzanine financing for the acquisition of Dexmet by Sverica International was provided by Avante Mezzanine (Avante Mezzanine Back Sverica’s Buy of Dexmet).
© 2013 PEPD • Private Equity’s Leading News Magazine • 3-12-13
