Mid-market investment bank Lincoln International has placed a $70 million senior secured term loan to support the acquisition of Curves International, a women’s fitness club franchisor, by North Castle Partners. Lincoln International arranged the private placement of the term loan with a major insurance company, assisted in the negotiations and acted as the exclusive financial advisor to North Castle Partners.
“We couldn’t be more pleased with Lincoln’s process. Outsourcing the Curves financing with Lincoln allowed us to broaden our reach beyond North Castle’s existing relationship lenders to find the ideal financing partner for this transaction,” said Jon Canarick, a Managing Director of North Castle. “In addition, the Lincoln team did an excellent job of conveying the Curves story to the market, which resulted in a significant amount of interest from prospective lenders.”
Curves International is a women’s fitness club franchisor with approximately 7,300 locations in 90 countries. Curves’ clubs average about 1,200 to 2,500 square feet and are generally located in strip malls. The company was founded by Gary and Diane Heavin in 1992 and is based in Waco, TX (www.curves.com).
“We were thrilled to work alongside Jon and his team on this exciting opportunity for North Castle. The financing package gives North Castle the flexibility it was seeking to invest in the company’s product and service offerings and propel Curves towards its next level of success,” said Ron Kahn, Managing Director and co-head of Lincoln International’s Debt Advisory Group.
North Castle makes control investments in consumer-driven product and service companies located in North America with enterprise values ranging from $50 million to $500 million. Sectors of interest include: aesthetics and personal care; consumer health; fitness and recreation; home and leisure; and nutrition. North Castle is headquartered in Greenwich, CT (www.northcastlepartners.com).
Lincoln International specializes in merger and acquisition advisory services, debt advisory services, private capital raising and restructuring advice on mid-market transactions. Lincoln International also provides fairness opinions, valuations and pension advisory services on a wide range of transaction sizes. With thirteen offices in the Americas, Asia and Europe, Lincoln International has strong local knowledge and contacts in key global economies. The firm provides clients with senior-level attention, in-depth industry expertise and integrated resources. The firm is based in Chicago, IL (www.lincolninternational.com).
© 2012 PEPD • Private Equity’s Leading News Magazine • 10-9-12