Archives for May 20, 2013

Business Development Corporation of America (BDCA), part of American Realty Capital, has hired a team of three professionals to launch a new lower middle market investing effort. Lloyd Sams and Scott Chappell join BDCA as managing directors and Damien Dovi joins as a director.

BDCA will invest in both sponsored and non-sponsored middle market investment opportunities in a variety of industries. Investment types will include both senior and junior capital for acquisitions, refinancings, or organic growth.

“Lloyd, Scott and Damien bring tremendous experience to BDCA’s platform as we continue to increase our participation in direct-to-company, lower middle market financings,” said Bob Grunewald, Chief Investment Officer at BDCA Adviser. “In addition to attractive senior secured financing opportunities in the lower middle market, they also will expand our product offering into higher-yielding, junior capital products.”

Messrs. Sams, Chappell and Dovi have worked together for the past 11 years at BIA Digital Partners, a set of private mezzanine funds focused on the business services, media and telecom sectors.

Prior to BIA Digital Partners, Messrs. Sams and Chappell, worked at First Union National Bank (now Wells Fargo). Mr. Sams managed the Communications and Media Finance Group for seven years. Previously he was a team leader and banker at The First National Bank of Chicago (now JP Morgan). He was the co-founder of BIA Digital Partners in 1999.

Mr. Chappell was a banker in the Private Placements and High Yield Groups at First Union for six years. He later joined Thomas Weisel Partners (now Stifel Nicholas) as an investment banker before joining BIA Digital Partners in 2001.

Mr. Dovi was hired by BIA Digital Partners in 2002 after three years in the Sports and Entertainment Group at Bank of America. He moved from an underwriting role into an origination role at BIA Digital Partners in 2010.

“When combined with our recently-hired middle market team of Joe Taylor, Jim Fisher and Doug Lyons, this lower middle market team gives BDCA full coverage of U.S. businesses that have been starved for growth capital since the financial crisis of 2008 and 2009. We believe BDCA can deliver flexible, cost-effective capital to the entire middle market through this expanded team,” said Pete Budko, Chief Executive Officer of BDCA.

BDCA (www.bdcofamerica.com) is owned by American Realty Capital (www.americanrealtycap.com), an investment advisory firm sponsoring a series of investment programs with an emphasis on publicly registered non-traded real estate offerings. American Realty and BDCA are based in New York.

© 2013 PEPD • Private Equity’s Leading News Magazine • 5-20-13

GE Antares served as administrative agent for an $89.5 million senior credit facility to support Greenbriar Equity Group’s acquisition of EDAC Technologies Corporation, a designer, manufacturer and servicer of precision components for aerospace and industrial applications. GE Capital Markets acted as joint lead arranger and sole bookrunner.

“We view GE Antares as an excellent choice to lead our debt financing for EDAC Technologies,” said Rob Wolf, director at Greenbriar Equity. “GE Antares has a great understanding of the debt financing markets, ensuring superior execution, and through their Access GE program they can help us tap into GE’s deep knowledge and experience in the aerospace market.”

EDAC Technologies Corporation is a diversified manufacturing company serving the aerospace and industrial markets. In the aerospace sector, EDAC offers design and manufacturing services for commercial and military aircraft, in such areas as jet engine parts, special tooling, equipment, gauges and components used in the manufacture, assembly and inspection of jet engines. Industrial applications include high-precision fixtures, gauges, dies and molds, as well as the design, manufacture and repair of precision grinders and precision spindles. The company is based in Cheshire, CT (www.edactechnologies.com).

“We’re excited to be leading another financing for Greenbriar Equity and starting a relationship with EDAC Technologies,” said Douglas Cannaliato, managing director at GE Antares. “Greenbriar Equity has extensive aviation industry expertise resulting from their exclusive focus on the global transportation industry which we are confident will provide real value to EDAC Technologies’ already strong and experienced management team.”

GE Antares is a unit of GE Capital with offices in Atlanta, Chicago, Los Angeles, New York, and San Francisco. Specializing in the middle market, GE Antares is a “one-stop” source for GE’s lending and other services to middle market private equity sponsors (www.geantares.com).

Greenbriar Equity Group invests from $50 million to $150 million per transaction in the global transportation industry, including companies in aerospace & defense, automotive, freight & passenger transport, logistics & distribution, and related sectors. The firm manages $1.5 billion of committed capital and is based in Rye, NY (www.greenbriarequity.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 5-20-13