Babson Capital Management provided subordinated debt to support the acquisition of Clear Edge Filtration by the Filtration Group, a portfolio company of Madison Capital Partners.
“Madison is delighted to work together again with Babson Capital on the addition of Clear Edge to the Filtration Group family of companies,” said Larry Gies, founder, President and CEO of Madison. “Babson Capital’s experience and expertise in the middle market and its shared commitment to client service have made it a valued partner to Madison for more than a decade.”
Babson Capital was the lead provider of subordinated debt on this transaction. PNC Erieview Capital (www.pncerieview.com) and Phoenix Life Insurance participated in the subordinated debt investment.
Clear Edge Filtration is a designer and manufacturer of a range of filtration products for the mining, minerals, chemical, wastewater treatment and food and beverage industries. The company has 17 production and fabrication facilities in 12 countries and is based in Tulsa (www.clear-edge.com).
Filtration Group is a manufacturer of filtration products used in the electronics & telecommunications; environmental air; medical/pharma; mining & minerals; oil, gas & chemicals; and paint & industrial finishing sectors. The company is headquartered in Chicago (www.filtrationgroup.com).
“Babson Capital is excited to continue our 11-year relationship with Madison through our participation in the Clear Edge transaction,” said Michael Klofas, Managing Director and Head of the U.S. Mezzanine & Private Equity Group for Babson Capital. “As a partner in the investment that led to the formation of Filtration Group, Babson Capital has been pleased with sales growth and improvements in operating efficiency to date, and we believe the addition of Clear Edge is a significant next step in Filtration Group’s strategy of creating a global filtration leader.”
Babson Capital has $183 billion in assets under management and is a member of the MassMutual Financial Group. The firm has offices in Boston and Springfield, MA; New York, Chicago, Charlotte and Los Angeles, and nine other offices in Europe, Asia and Australia (www.BabsonCapital.com).
Madison Capital Partners invests in under-performing and under-managed industrial manufacturing companies that have revenues from $50 million to $2 billion. The firm was founded in 1994 and is based in Chicago (www.madisoncapitalpartners.net).
© 2013 PEPD • Private Equity’s Leading News Magazine • 7-25-13