LBC Credit Partners has provided a $15 million second lien term loan to support the acquisition of building components company Alliance Steel by Associated Steel Group, a portfolio company of Promus Equity Partners. Associated Steel Group was formed through acquisitions of ACI Building Systems and AIM Metals.
LBC Credit Partners (“LBC”), a leading provider of financing solutions to middle market companies, agented a $15.0 million second lien term loan to support the acquisition of Alliance Steel, Inc. (“Alliance” or the “Company”). The Company was acquired through Associated Steel Group, LLC (“ASG”), an entity formed for the purpose of consolidating the metal building industry, an effort that began in August 2012 with Mississippi-based ACI Building Systems, LLC and continued with the acquisition of Georgia-based AIM Metals, LLC in February 2013. With the acquisition of Alliance, ASG has become the fourth largest company in the metal building systems industry.
Based in Nashville, Tennessee, ASG is a portfolio company of Promus Equity Partners, LLC in partnership with Jon S. Vesely, an independent sponsor.
Alliance is a fully integrated manufacturer of metal building systems, structural steel and components, focused primarily on serving non-residential customers in Oklahoma, Texas and other surrounding states. The company operates from a 415,000 square foot facility in Oklahoma City with 340 employees. Alliance specializes in the construction of complex, highly-engineered low-rise metal buildings which it manufactures at its Oklahoma City facility and either ships the materials to customer job sites or makes them available at the plant for customer pick-up; Alliance does not provide on-site erection services. Metal buildings manufactured by Alliance are used in a wide number of applications, including office and retail buildings, warehouses, manufacturing plants, churches, schools, agricultural buildings and aircraft hangers.
Promus Equity Partners is a private equity investment firm affiliated with Promus Holdings, a multi-family asset management firm based in Chicago, Illinois with over $800 million under management among its affiliated entities. Promus targets healthy, lower-middle market companies with EBITDA of $15 million or less. Members of the Promus team are proven investors with wide-ranging experiences over numerous economic cycles in a variety of industries. As a family office with a flexible investment mandate, they think creatively and allow each opportunity to guide their investment structure and duration absent the constraints imposed by traditional private equity funds. Their success relies upon partnering with managers and business owners to collaboratively develop plans to accelerate growth and increase value. As a family of investors, they share a common vision to build a portfolio of outstanding businesses.
About LBC Credit Partners
LBC Credit Partners is a leading provider of middle market financing solutions including senior term, unitranche, second lien, junior secured and mezzanine debt and equity co-investments supporting sponsored and non-sponsored transactions. With approximately $1.4 billion of capital commitments, LBC has made investments in companies located throughout North America across a wide range of industries and is committed to a long-term approach to debt investing. Headquartered in Philadelphia, LBC has additional offices in Chicago and New York City.
To learn more about LBC Credit Partners, visit www.lbccredit.com.