Golub Capital was the Administrative Agent, Sole Lead Arranger and Sole Bookrunner, on a new financing to back the acquisition of Active Day Senior Care by Audax Private Equity. Golub Capital also made an equity co-investment to support the transaction.
Active Day Senior Care is a provider of adult day health services with 80 locations across the country. The company’s services enable frail, elderly and disabled adults to live at home and remain independent in their communities, while receiving health care and supervision during the day, as well as providing relief and respite for caregivers.
The seller of Active Day Senior Care was Clearview Capital (www.clearviewcap.com) which first invested in the company in 2005 and completed 15 add-on acquisitions to create the largest operator of adult day health centers in the US. During its ownership term revenues more than quadrupled and earnings increased nearly six-fold.
This is the fifth transaction that Golub Capital and Audax have completed together this year. “Golub Capital was the clear choice to lead the transaction given their deep expertise in the healthcare industry and demonstrated ability to support Active Day’s growth plans,” said Mark Cordes, Managing Director at Audax . “We look forward to our partnership on Active Day and to working with Golub again on future transactions.”
Golub offers buy-and-hold products ranging from $10 million to $75 million and includes one-loan financings, senior, 2nd lien and subordinated debt, preferred stock and co-investment equity. The firm underwrites and syndicates loans up to $500 million and will hold up to $300 million per transaction. Industries of interest include consumer products, business and consumer services, defense, manufacturing, value-added distribution, media, healthcare services and restaurants. Golub has offices in New York, Chicago, San Francisco and Charlotte (www.golubcapital.com).
“We are thrilled to support Active Day through its next phase of growth with Audax,” said Brian Crabb, Managing Director of Golub Capital. “Institutionally, we believe that Active Day’s focus on reducing the overall cost of care by allowing the elderly to remain in a partial home setting positions the business exceptionally well in the current healthcare environment.”
The Audax Group makes control investments of $10 million to $100 million in middle market companies with transaction values of $25 million to $500 million. Sectors of interest include industrial manufacturing; energy; outsourced industrial services; consumer products; healthcare devices and services; non-asset based logistics; technology; aerospace & defense; business services; and direct marketing. Audax has over $6 billion in assets under management in its private equity, mezzanine, and senior debt businesses. The firm has offices in Boston, New York, and Menlo Park (www.audaxgroup.com).
© 2015 PEPD • Private Equity’s Leading News Magazine • 12-11-15
