Babson Capital Management LLC said on Monday today that it provided subordinated debt and made an equity co-investment to support AEA Investors LP’s buy of Aramsco Holdings. No financial terms were disclosed. Based in Paulsboro, New Jersey, Aramsco is a distributor of safety products, equipment and supplies for building restoration and surface preparation.
SPRINGFIELD, Mass. (June 24, 2013) – Babson Capital Management LLC, a global investment management firm with more than $180 billion in assets under management and operations on four continents, announced today that it provided subordinated debt and made an equity co-investment to support AEA Investors LP’s acquisition of Aramsco Holdings Inc.
Babson Capital was the lead provider of subordinated debt on the transaction, with the balance provided by AEA Mezzanine Fund III LP.
Founded in 1966 and based in Paulsboro, N.J., Aramsco is a leading distributor of safety products, equipment and supplies to customers engaged in asbestos and lead abatement, commercial and residential building restoration, and surface preparation. The company’s distribution capabilities are supported by a national network of 19 branches and more than 200 employees to ensure timely delivery and reliable local service and support required by Aramsco’s customer base of small and medium-sized specialty contractors.
“AEA Investors is pleased to work together again with Babson Capital on the investment in Aramsco Holdings,” said Tim Whelan, Vice President for AEA Investors LP. “The middle-market experience and expertise of the Mezzanine & Private Equity Group, combined with its commitment to client service, make Babson Capital an ideal partner for AEA Investors.”
“Babson Capital is happy to be part of AEA’s investment in Aramsco Holdings,” said Michael L. Klofas, Managing Director and Head of the U.S. Mezzanine & Private Equity Group. “Aramsco has built a successful business based on unmatched service and knowledge of their customers’ needs, and we are excited about the opportunity for the company to benefit from AEA’s considerable experience in the distribution sector.”
About AEA Investors LP
AEA Investors LP was founded in 1968 by the Rockefeller, Mellon, and Harriman family interests and S.G. Warburg & Co. as a private investment vehicle for a select group of industrial family offices with substantial assets. AEA’s active individual investors (the “Participants”) include an extraordinary network of more than 75 highly successful business executives, industrial families and former government leaders. Today, AEA’s over 60 investment professionals operate globally with offices in New York, Connecticut, London, Munich, Hong Kong and Shanghai. The firm manages funds that have over $6 billion of invested and committed capital including the leveraged buyouts of middle market companies and small businesses and mezzanine and senior debt investing. AEA Private Equity invests across four sectors: value added industrial products, specialty chemicals, consumer products / retail and services.
About Babson Capital Management LLC
Babson Capital Management LLC and its subsidiaries serve institutional investors around the globe and have $181 billion in assets under management as of March 31, 2013. Through proprietary research, analysis and a focus on investment fundamentals, we develop products and strategies that leverage our broad expertise in fixed income, equities, alternatives, structured products, debt financing for corporations and debt and equity financing for commercial real estate. Based in Boston and Springfield, Mass., and Charlotte, N.C., with offices in New York City and Los Angeles, the firm’s subsidiaries include Babson Capital Europe Limited in London, Babson Capital Australia Pty Ltd in Sydney, Cornerstone Real Estate Advisers LLC in Hartford, Conn., and Wood Creek Capital Management, LLC in New Haven, Conn. Babson Capital is a member of the MassMutual Financial Group.