Abacus Finance Group served as Administrative Agent and Sole Lead Arranger for senior secured credit facilities to support the refinancing of Persante Health Care, a portfolio company of Harren Equity Partners.
In March 2012, Harren Equity Partners acquired three companies – SleepCare Centers, SleepTech, and Blackwood Medical – and merged them to form Persante Health Care, a provider of sleep disorder diagnostic and therapeutic services. The company offers outsourced sleep care programs to hospitals and physician practices through 68 facilities in ten states with a strong presence in the Northeast region of the United States. Persante is based in Mt. Laurel, NJ (www.persante.com).
“We have known the Abacus team for a number of years,” said Harren Managing Partner Thomas Carver, “but this was our first transaction with them, and it was highly successful from our point of view. They proved to be flexible in their approach, and most importantly, they were able to provide certainty of close at a relatively early stage in the negotiations.”
Abacus targets debt financing opportunities of up to $50 million with a typical hold size ranging from $10 million to $25 million. The companies Abacus finances generally have EBITDAs between $3 million and $15 million. Abacus was formed in June 2011 and is an affiliate of New York Private Bank & Trust, the holding company for Emigrant Bank, founded in 1850, the largest privately held bank in America with approximately $10 billion in assets. Abacus is based in New York (www.abacusfinance.com).
Harren Equity Partners invests in companies with revenues of $20 million to $150 million and EBITDAs of at least $5 million. Sectors of interest include aerospace & defense; automotive aftermarket products and repair services; business services; building products; food & industrial machinery and equipment; medical products; natural resources and energy; preventative health services and products; restaurants and foodservice; retailing services; and scrap metal recycling. The firm has more than $250 million of capital under management. Harren Equity Partners was founded by Thomas Carver in 2000 and is based in Charlottesville, VA (www.harrenequity.com).
“Harren’s lower-middle market focus and their investment criteria are a perfect match for us,” said Tim Clifford, President and CEO of Abacus. “Tom Carver, Garrick Brown and the entire Harren team are knowledgeable investment professionals and great to work with. As in other recent transactions, factors critical to success included our healthcare expertise, our strong working relationships with company management, and, as Tom mentioned, providing certainty of close early in the process – important aspects of what we call our Total Partnership Approach.”
© 2013 PEPD • Private Equity’s Leading News Magazine • 4-11-13
