Babson Capital Backs Church Services Deal

Babson Capital Management has provided $6 million in mezzanine debt, and made an equity co-investment of $1.5 million, to support Fort Point Capital’s investment in Church Services LLC. Formed in 1990, Church Services is a provider of residential services to homeowners, including the repair, maintenance and replacement of heating, ventilation, and air conditioning systems, electrical and plumbing.

PRESS RELEASE

Babson Capital Management LLC (Babson Capital), an investment management firm based in Springfield and Boston, Mass., and Charlotte, N.C., today announced it provided $6.0 million in mezzanine debt and made an equity co-investment of $1.5 million to support Fort Point Capital’s investment in Church Services LLC.

 

Church Services, founded in 1990, is a leading provider of residential services to homeowners, including the repair, maintenance and replacement of heating, ventilation, and air conditioning systems, electrical, plumbing, foundation repair and pest control services to the greater Houston, Dallas and Austin metropolitan areas. The company is based in Houston and has branches in Dallas and Austin.

 

“The Babson Capital team has worked with Fort Point’s partners on investments for well over a decade, so we were pleased to renew our relationship on the Church Services recapitalization,” said Fort Point Capital Partner Brooke Ablon. “With its deep experience in middle-market financing, its responsiveness and its partner-like approach, Babson Capital was a great asset for Fort Point on this transaction.”

 

“Church Services is well positioned to capitalize on numerous growth opportunities, and Fort Point’s extensive knowledge of best practices across a diverse range of service industries can only improve the company’s already impressive reputation for customer service,” said Mike Klofas, Managing Director and head of the Mezzanine & Private Equity Group for Babson Capital. “Babson Capital is proud to partner with Fort Point on its investment in Church Services and we look forward to working with Brooke and his team on future investments soon.”

 

About Fort Point Capital

Fort Point Capital is a private equity firm that invests $5 to $25 million in growing, service-oriented, lower middle market companies across a range of sectors, including business services, healthcare, consumer, and software and information. The founders of Fort Point previously worked for leading middle market private equity firms including The Riverside Company and Great Hill Partners. For more information, please visit www.fortpointcapital.com.

 

About Babson Capital Management LLC

Babson Capital Management LLC and its subsidiaries serve institutional investors around the globe and have $142.8 billion in assets under management as of March 31, 2012. Through proprietary research and analysis and a focus on investment fundamentals, we develop products and strategies that leverage our broad array of expertise in fixed income, equities, alternative, 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.