A10 Gets $100 Mln Equity Facility, Closes $100 Mln Bond Deal

A10 Capital said Wedneday that it has completed to two transactions. In the first, H.I.G. Capital made an equity investment in A10 that facilitates up to $100 million in additional equity. A10, in a second deal, completed a $100 million bond offering. A10 Capital specializes in small to middle market commercial mortgage loans.


A10 Capital, a full service, nationwide lending business specializing in small to middle market mini-perm commercial mortgage loans, today announced that it completed two important transactions that position it to increase lending to commercial real estate investors.
An Affiliate of H.I.G. Capital, L.L.C., a leading global private equity firm, closed an equity investment in A10 Capital that facilitates up to $100 million of additional equity capital to support loan growth. A10 Capital also completed a $100 million bond offering. A10 Capital’s loans will remain on balance sheet and will continue to be serviced by A10 Capital.
“The equity infusion by H.I.G. affirms our business model and positions us for continued growth while the debt offering provides us an attractive and long term funding model,” said Jerry Dunn, CEO of A10 Capital. “We are pleased to have the support of H.I.G. to execute our strategy to be the leading mini-perm commercial real estate lender for small to middle market properties. What differentiates A10 competitively is our focus on $1 to $10 million commercial mortgage loans, our willingness to finance un-stabilized properties on a non-recourse basis, and the certainty of timely funding.”
“With the significant headwinds in the banking system and the regulatory environment forcing banks to dramatically reduce their commercial real estate exposure, we see a tremendous need for A10’s product,” said Craig Kahler, a Principal at H.I.G. Capital.
Bret Wiener, a Managing Director at H.I.G Capital, added, “We are pleased to partner with Jerry and his outstanding team. The team has tremendous experience from loan origination and underwriting, through to exceptional loan servicing and is well positioned to service the needs of its borrowers.”
Moelis & Company served as the exclusive financial advisor and placement agent to A10 Capital in connection with the equity financing transaction.
About A10 Capital
Founded in 2007, A10 Capital specializes in small to middle market commercial mortgage loans on a nationwide basis. Its core product, a mini-perm loan, features an intermediate term of 3-5 years that is often used to finance properties not yet in a position to obtain longer-term, permanent financing. A10 Capital is a full service lending platform, including origination, underwriting, closing, and servicing. Headquartered in Boise, ID, the firm has loan production offices in Atlanta, Chicago, Dallas, Los Angeles and San Francisco. For more information visit www.a10capital.com
About H.I.G. Capital
H.I.G. Capital is a leading global private equity investment firm with more than $8.5 billion of equity capital under management. Based in Miami, and with offices in Atlanta, Boston, Chicago, Dallas, New York, and San Francisco in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Paris, and Rio de Janeiro, H.I.G. specializes in providing capital to small and medium-sized companies with attractive growth potential. H.I.G. invests in management-led buyouts and recapitalizations of profitable and well managed manufacturing or service businesses. H.I.G. also has extensive experience with financial restructurings and operational turnarounds. Since its founding in 1993, H.I.G. invested in and managed more than 200 companies worldwide. The firm’s current portfolio includes more than 50 companies with combined revenues in excess of $8 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.