NXT Capital provided a $98 million senior secured facility to back Tenex Capital’s recent acquisition of JPW Industries. NXT Capital was the Joint Lead Arranger, Sole Bookrunner and Administrative Agent for this transaction.
“NXT Capital was a valuable partner in the JPW Industries transaction,” said Scott Galletti, Managing Director, Tenex. “The NXT team was flexible and responsive in supporting our investment. We appreciated NXT’s efforts throughout the deal process.”
Lincoln International (www.lincolninternational.com) acted as exclusive financial advisor to Tenex and placed the senior debt financing with NXT Capital. Also participating in the senior debt facility was Sumitomo Mitsui Banking Corporation and ING Capital. Subordinated debt was provided by Fifth Street Finance Corp.
JPW Industries designs, markets, and distributes a range of metalworking and woodworking machinery and shop tools under the JET, Powermatic, and Wilton brand names. The company sources approximately 4,000 SKUs from over 400 suppliers and sells through a network of approximately 3,000 national and independent distributors, wholesalers, dealers, and online/specialty retailers. The company is headquartered near Nashville in La Vergne, TN, with wholly owned operations in Switzerland, France, Hong Kong, and Taiwan, as well as joint ventures in Germany and Russia (www.jettools.com) (www.powermatic.com) (www.wiltontools.com).
NXT Capital provides structured financing to middle-market and growth companies through its Corporate Finance, Equipment Finance, Real Estate Finance and Venture Finance groups, originating transactions directly on a national basis. NXT Capital targets senior financing opportunities up to $150 million with a hold size up to $50 million. NXT Capital is led by former principals of Merrill Lynch Capital and was formed in 2010 by Stone Point Capital and the founding management team. The firm is based in Chicago with offices in New York, Atlanta, Boston, Charlotte, Dallas, Kansas City, Minneapolis/St. Paul, Phoenix, San Francisco and Silicon Valley (www.nxtcapital.com).
Tenex Capital Management invests up to $100 million in middle-market companies in the transportation, industrial, manufacturing, and health and business services sectors. The firm has $452 million of committed capital and is based in New York (www.tenexcm.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 12-20-13