Abacus Finance Group LLC has provided $22 million in credit facilities to back River Associates Investments‘ buyout of North Hollywood, California-based GAHH LLC, a maker of aftermarket convertible tops, Jeep tops, seat covers and vehicle interiors. Abacus was the administrative agent and lead arranger for the financing. Goulston & Storrs PC provided legal advice to Abacus on the transaction.
NEW YORK, NY, May 24, 2018 – Abacus Finance Group, LLC (Abacus), 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 Lead Arranger for $22 million in senior secured credit facilities to support the leveraged buyout of GAHH, LLC by River Associates Investments, LP.
Headquartered in North Hollywood, CA and founded in 1979, GAHH is a manufacturer of automotive aftermarket convertible tops, Jeep tops, and vehicle interiors with a 65% market share in the United States. River Associates is a private equity firm based in Chattanooga, TN, that focuses exclusively on investing in the lower-middle market and has partnered closely with management teams for over 28 years.
“We chose once again to partner with the Abacus team because of their expertise in financing companies in niche industry sectors and their ability to assure certainty of close early on,” said Mike Brookshire, Co-Managing Partner of River Associates. “Working with Abacus, the transaction process is quick and streamlined from due diligence to close,” added River Associates Vice President Blake Lewis. “They make it look easy, and they are simply great to work with.”
“Over the years River Associates has been terrific to work with and have proved to be a great fit for us given their investment strategy and lower-middle market focus,” said Tim Clifford, President and CEO of Abacus Finance. “Their due diligence preparation,” added Abacus Senior Vice President Eric Petersen, “was very thorough, and their team meshed smoothly with ours. As in other transactions, the critical success factors came down to our flexibility and our ability to provide certainty of close – both important aspects of what we call our Total Partnership Approach™.”
Abacus team members involved in the transaction included Eric Petersen & Rafal Rydzewski. Legal counsel was provided to Abacus by Goulston & Storrs, PC.
About GAHH, LLC
Headquartered in North Hollywood California, GAHH is a leading designer, manufacturer, and marketer of aftermarket convertible tops, Jeep tops, and vehicle interiors. The company’s portfolio of brands, including GAHH, Robbins, and E-Z ON, are market leaders in U.S aftermarket convertible tops. GAHH offers a broad range of products including OEM equivalent convertible tops, Jeep tops, and interior trim products including seats and carpets. Visit gahh.com for more information.
About River Associates Investments, LP
River Associates is a private equity firm based in Chattanooga, Tennessee that focuses exclusively on investing in the lower-middle market and has partnered closely with management teams for over 28 years. Target businesses include privately-held firms, private equity-backed or divestitures from larger companies. River Associates is opportunistic as to industry and has invested in numerous manufacturers, high-margin distributors, industrial service and business service companies. The firm is currently investing its 7th committed fund ($285 million) and seeks to make investments in companies with $3-15 million of EBITDA throughout the United States and Canada. Since its founding in 1989, River Associates has initiated 87 transactions, many of which have been strategic add-on acquisitions to platform companies. Visit riverassociates.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 nationwide. Since its inception in June 2011, it has closed over $1.7 billion in financings. Abacus targets debt financing opportunities of up to $60 million with a typical hold size ranging from $10 million to $30 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.