Victory Park Capital has received final agency committee approval by the U.S. Small Business Administration for its license as a Small Business Investment Company (SBIC). This license allows VPC to borrow flexible capital from the SBA with which to invest in conjunction with its own equity.
“The SBIC license enables us to make investments in small businesses that would otherwise fall below the size requirements of our other funds. As a Small Business Investment Company, VPC is well positioned to provide small businesses across the U.S. with the capital needed to maintain operations, invest in new initiatives and create jobs,” said Richard Levy, Managing Partner at VPC.
“As an extension of the Victory Park platform, we will employ the same flexible investment strategy and philosophy as our other funds, but through smaller investments in non-distressed issuers,” said Brendan Carroll, Partner at VPC. “We feel this additional product offering further enhances VPC’s overall value proposition to the marketplace and we are very excited about the continued growth of the firm.”
Victory Park invests from$10 million to $50 million per transaction in small cap public companies and middle market private companies that typically generate less than $150 million in revenue and $30 million of EBITDA. The firm focuses on complex situations and seeks to build long term sustainable value in its companies. Victory Park is based in Chicago and has offices in New York, Boston, and San Francisco (www.victoryparkcapital.com).
“As access to capital for small business owners remains constricted, there is a clear and present opportunity for non-traditional financing sources to partner with organizations like the SBA to help provide the necessary liquidity for lower middle-market issuers,” said Matthew Ray, partner at VPC.
© 2012 PEPD • Private Equity’s Leading News Magazine • 10-18-12
