LBC Credit Partners has agented a second lien term loan to Diversified Maintenance Systems, a portfolio company of Frontenac Company. Proceeds from the facility were used to finance Diversified’s recent acquisition of Rite Way Service and to refinance existing indebtedness. Frontenac first invested in the Diversified in 2010.
Rite Way is a regional provider of janitorial and facility services in the Southeastern US. Rite Way serves customers across a range of end markets that include manufacturing operations, commercial office buildings, financial institutions, airports, government buildings, educational facilities, and public utilities. The company is headquartered in Birmingham, AL (www.ritewayservice.com).
Diversified Maintenance Systems is a national provider of outsourced janitorial and facilities maintenance services to major retailers, logistics firms and grocery stores. Customers include Best Buy, Home Depot, JC Penney, Kroger, Sears/Kmart, Target and UPS. Diversified was founded in 1997 and is headquartered in Tampa (www.diveinc.com).
LBC Credit Partners is a provider of middle market financing to companies with EBITDAs generally greater than $10 million. Products include senior term, unitranche, second lien, junior secured and mezzanine debt and equity co-investments supporting sponsored and non-sponsored transactions. LBC invests from $10 million to $50 million per transaction supporting acquisitions, growth strategies, refinancings, recapitalizations, and restructurings. LBC has more than $1.4 billion of capital under management and is headquartered in Philadelphia with additional offices in Chicago and New York (www.lbccredit.com).
Frontenac Company invests in mid-sized businesses that operate primarily in the business services, industrial, food, and healthcare industries. Frontenac has completed over 25 buyout transactions and nearly 60 add-on acquisitions since 2000, and more than 70 platform acquisitions in the last 30 years. The firm was founded in 1971 and is headquartered in Chicago (www.frontenac.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 5-7-14
