CIT Group Inc. provided a senior secured credit facility to help fund the acquisition of Enterprise Recovery Systems by United Recovery System. Specific terms of the debt financing were not released. Texas-based United Recovery Systems, a provider of third-party contingency debt collection services, is owned by buyout shop Audax Group.
CIT Group Inc. CIT -0.69% cit.com, a leading provider of financing to small businesses and middle market companies, today announced that it provided a senior secured credit facility to United Recovery Systems (URS), a provider of third-party contingency debt collection services owned by Audax Group. The financing was provided by CIT Bank, a wholly-owned subsidiary of CIT, to facilitate URS’ acquisition of Enterprise Recovery Systems, a provider of collection services. CIT Commercial & Industrial served as Sole Lead Arranger and Administrative Agent for the financing. Terms of the transaction were not disclosed.
“We are pleased to have arranged this financing that supports United Recovery Systems’ acquisition of Enterprise Recovery Systems,” said Jay Baldinelli, Managing Director, CIT Sponsor Finance. “This transaction underscores CIT’s commitment to provide financing to our middle market and private equity clients to help them grow and expand their businesses.”
Jim Kelleher, President of URS, said, “The acquisition of Enterprise Recovery Systems will expand our capabilities with post-secondary education providers, student loan guarantee agencies, and the Department of Education.”
Mark Cordes, Managing Director of Audax Group, said, “CIT’s in-depth market knowledge was instrumental in our decision making process and we look forward to continuing to build our relationship with CIT as we execute on future acquisitions.”
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About United Recovery Systems
United Recovery Systems, LP is a Texas-based Limited Partnership headquartered in Houston, Texas with offices in Tulsa, Oklahoma, Monterrey, Mexico, Tempe, Arizona, and Bryan, Texas. URS provides accounts receivable management services to the nation’s leading credit grantors. unitedrecoverysystems.com
About Enterprise Recovery Systems
Enterprise Recovery Systems is a provider of collection services with offices in Oak Brook, Illinois and Covington, Kentucky. ERS’ clients include post-secondary education providers, student loan guarantee agencies, and the Department of Education. ersinc.com
About Audax Group
Audax Group, founded in 1999, is a leading investor in lower-middle market companies. With offices in Boston and New York, Audax has raised in excess of $5 billion of equity, mezzanine debt, and senior loan capital. Audax Private Equity invests over $2.4 billion of equity capital in control acquisitions of lower-middle market companies across a wide range of industries. audaxgroup.com
About CIT Bank
Founded in 2000, CIT Bank is wholly-owned subsidiary of CIT Group Inc. CIT -0.69% . It is regulated by the Federal Deposit Insurance Corporation and the Utah Department of Financial Institutions. As of December 31, 2011, it had $6.1 billion of deposits and $9 billion of assets. CIT Bank is a member of FDIC. BankOnCIT.com
Founded in 1908, CIT CIT -0.69% is a bank holding company with more than $34 billion in finance and leasing assets. A member of the Fortune 500, it provides financing and leasing capital to its more than one million small business and middle market clients and their customers across more than 30 industries. CIT maintains leadership positions in small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and global vendor finance. CIT also operates CIT Bank (Member FDIC), BankOnCIT.com, its primary bank subsidiary, which offers a suite of online savings options designed to help customers achieve a range of financial goals.