ABACUS FINANCE PROVIDES $18 MILLION IN SENIOR DEBT FINANCING TO SUPPORT THE GORES GROUP’S CARVE-OUT OF VITAC
New York, NY, February 4, 2016 - Abacus Finance Group, LLC, a New York-based direct lending company that provides cash-flow senior financing for private equity-sponsored, lower-middle market companies, announced today that it served as Administrative Agent and Sole Lead Arranger for $18 million in senior secured credit facilities to support the carve-out of VITAC Corporation (VITAC) by The Gores Group, LLC (Gores).
Founded in 1986 and headquartered in Canonsburg, PA, VITAC is the largest U.S. provider of captioning services to the live and prerecorded television programming and entertainment industries. The Gores Group, founded in 1987 by Alec Gores and headquartered in Los Angeles, is a global investment firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm's operating experience and flexible capital base.
“The transaction was handled smoothly and rapidly by the Abacus team from the outset,” Mike Nutting, Managing Director and Head of Corporate Finance for Gores. "They rolled up their sleeves to learn the business and the industry, and closed the deal in just two weeks – a tremendous effort on their part.”
“This was our first transaction with The Gores Group, which has an impressive record of carve-out acquisitions,” said Tim Clifford, President and CEO of Abacus Finance. “They proved to be easy to work with, their due diligence was thorough, and they placed a high value on our speed – a key aspect of what we call our Total Partnership Approach™.”
Abacus team members involved in the transaction included Timothy Wong, Jonathan Choa and Joseph Lee. Legal counsel was provided to Abacus by Choate Hall & Stewart LLP.
About VITAC Corporation
VITAC is the nation’s largest provider of closed captioning and other accessible media services. VITAC provides live and prerecorded captioning solutions in English and Spanish, video description and digital media services for broadcast networks, cable TV, online video, and teleconferences worldwide. Among the company’s largest clients are NBC Universal, Discovery Networks, BBC America, CNN, C-SPAN, FOX, Turner Broadcasting, Warner Bros. Television, and the federal government. Founded in 1986, VITAC is headquartered in Canonsburg, PA and currently employs over 325 people, with some of the most tenured leaders in the industry. Visit vitac.com for more information.
About The Gores Group, LLC
The Gores Group, founded in 1987 by Alec Gores, is a global investment firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm's operating experience and flexible capital base. The firm combines the operational expertise and detailed due diligence capabilities of a strategic buyer with the seasoned M&A team of a traditional financial buyer. Over its 25+ year history, The Gores Group has become a leading investor with a reliable track record of creating value in its portfolio companies alongside management. Headquartered in Los Angeles, The Gores Group maintains offices in Boulder, CO, and London. Visit gores.com for more information.
About Abacus Finance Group, LLC
Abacus Finance is a leading direct lending company, focused on providing cash flow senior financing to private equity-sponsored, lower-middle market companies across a wide array of industries. Since its inception in June 2011, it has closed over $2 billion in financings. Abacus targets debt financing opportunities of up to $75 million with a typical hold size ranging from $10 million to $40 million, and finances companies with EBITDA between $3 million and $15 million. Abacus is an affiliate of New York Private Bank & Trust which was founded in 1850.
Abacus Finance is located at 335 Madison Avenue, 23rd Floor, New York, NY 10017. All inquiries and new investment opportunities should be directed to Tim Clifford at 212-850-4620 or to cliffordt@abacusfinance.com. Please visit abacusfinance.com for more information.
The Total Partnership Approach™, which is a registered trademark of Abacus Finance, LLC, brings cash-flow financing expertise, deep industry knowledge and exceptional client service, and our way of Making Life Easier over the lifecycle of each investment for our private equity sponsors.