PNC Equity Partners has acquired The Orthotic Group Inc., a Markham, Ontario-based maker and distributor of prescription orthotics, orthotic footwear and gait analysis equipment to healthcare professionals. No pricing terms were disclosed. Bank of Montreal provided senior debt, while MTN Capital Partners and Orthotic Group management participated alongside PNC on the equity tranche.
J.W. Childs has acquired Refrigerator Manufacturers Inc., a Santa Fe Springs, Calif.-based provider of large cooler and freezer rooms for major U.S. entertainment destination facilities. No financial terms were disclosed for the deal, which was a restructuring prompted by RMI’s former parent sought creditor protection.
JAKARTA (Reuters) – A consortium led by U.S. private equity firm Texas Pacific Group has offered $1.28 billion for a 35 percent stake in Indonesian coal miner PT Bumi Resources Tbk (BUMI.JK: Quote, Profile, Research, Stock Buzz), a local paper reported on Friday, citing an investment banking source. PT Bakrie & Brothers Tbk (BNBR.JK: Quote, […]
HONG KONG (Reuters) – U.S. private equity firm Blackstone Group (BX.N: Quote, Profile, Research, Stock Buzz) has struck a deal to pay less for a bigger stake in a Shanghai commercial property, as the global financial turmoil further weighs on China’s real estate market. Blackstone will buy 95 percent of the Changshou Commercial Plaza for […]
NEW YORK (Reuters) – A judge has approved a financing plan for Interstate Bakeries Corp. that will help fund the maker of Wonder Bread and Hostess Twinkies as it works to emerge from Chapter 11 bankruptcy, according to court documents. The plan, reached with firms including private equity firm Ripplewood Holdings LLC and General Electric […]
Mid-market lenders are putting the screws to private equity firms, when it comes to bolt-on acquisitions. For example, imagine you launched a manufacturing acquisition platform in 2006, and used leverage to fund the initial formation and acquisitions. Chances are that the debt terms were pretty loose, or at least much looser than you could get today. So when you go back to your banker to help finance a bolt-on acquisition, you get told: (A) You’re not going to be able to get the 2006 terms for the bolt-on, and (B) In order to get bolt-on financing, you’ll need to rework the original 2006 loan terms. “Banks now want to reset any deal cut under the old rules, and will use any excuse to do that,” says Stuart Kohl, co-CEO of
Tonka Bay Equity Partners has completed a dividend recapitalization of portfolio company All-Flex AVT Holdings LLC, a Northfield, Minn.-based flexible circuit manufacturer. No financial terms were disclosed, except that M&I Marshall & Ilsley provided capital. PRESS RELEASE Tonka Bay Equity Partners (“Tonka Bay“) announces the completion of a dividend recapitalization of its portfolio company, […]
Carousel Capital has acquired both Driven Brands Inc. and Maaco Franchising Inc. for an undisclosed amount. Senior debt financing was provided by GE Antares, CapitalSource Finance, Golub Capital and Wachovia, while Gleacher Mezzanine and Allied Capital provided sub debt. Driven Brands is the parent company of Meineke Car Care Centers, Econo Lube N’ Tune, AutoQual, Aero Colours, Drive N Style and Tortal.net. Maaco provides franchised auto body repair and painting.
Ariston Global Holding, a Pittsford, N.Y.-based communications acquisition platform sponsored by Spire Capital Partners, has acquired ACE*Comm Corp., a Gaithersburg, Md.-based provider of OSS/BSS services to telecom service producers and large enterprises. No financial terms were disclosed, except that BIA Digital Partners provided $12 million in debt financing.
Thanks to an amazingly lucky (or brilliantly calculated) set of macro-trends, PNC Equity has shaken three equity recaps out of one of its early portfolio companies, scoring a return greater than its initial investment before even thinking about its exit. PNC Equity bought Tangent Rail Corporation in 2005 out of its first fund raised independently of parent firm PNC. Since then, the PE arm has watched the rail industry take off as its customers consolidate. The firm used five different lenders on the recap, a deal that wouldn't have happened if it had started talks 30 days later, according to David Hillman of PNC Equity Partners. The full story, after the jump.