Stadco Inc, a maker of high-precision components and tooling for the commercial aerospace, defense, space, and industrial markets, has secured $13.35 million in financing. The backer was Five Crowns Credit Partners, which worked with Sunflower Bank to structure the financing package. The capital infusion will be used to refinance existing debt and provide additional working capital for growth.
Five Crowns Credit Partners is pleased to announce the closing of a $13,350,000 financing (consisting of revolver, term loan, and preferred equity) for Stadco, Inc., a manufacturer of high-precision components and tooling for the commercial aerospace, defense, space, and industrial markets. The borrower is a key supplier of large, flight-critical components on several aircraft platforms. Five Crowns Credit Partners worked closely with Sunflower Bank and the management team to structure a highly customized financing package to refinance existing debt and provide additional working capital for growth. Chris Taylor, Managing Director of Five Crowns Credit Partners, led the deal and will continue to work closely with management at the board level as the company executes upon its growth plan, which includes both organic initiatives and strategic acquisitions. For more information on the transaction, or to discuss a potential tuck-in acquisition for the borrower, please contact Chris Taylor at firstname.lastname@example.org.
About Five Crowns Credit Partners
Five Crowns Credit Partners is a special situations direct lending group focused on the lower middle market. The firm specializes in bespoke debt facilities that solve companies’ liquidity needs with flexible and creative capital solutions. Most loans range in size from $7-$70 million and are best suited for North American businesses with greater than $10 million of revenue and $2-20 million of EBITDA, across a broad range of industries. The firm primarily focuses on unitranche cash flow lending and stretch ABL lending but will opportunistically participate at other points in the capital structure as well. Five Crowns Credit Partners often works with companies that are not sponsor-backed and that may be having difficulty attracting capital from more traditional lenders; as such the firm conducts heavy due diligence and remains active in governance to maintain a strong and collaborative relationship with management. www.fivecrownscredit.com
About Sunflower Bank
Sunflower’s Structured Finance Group has expertise in structuring Asset Based Lending (“ABL”) and Leveraged Finance capital solutions for lower middle market companies and private equity investors. The Denver-based Structured Finance Group has broad experience across multiple industries including manufacturing, distribution, and B2C services with structures for working capital, acquisition financing, leveraged recapitalization, ABL lines of credit, and capex financing. ABL borrower situations may include high growth, high leverage, temporary losses, significant working capital needs, business seasonality, or management buyouts. Benefits include increased liquidity via higher advance rates on working capital assets and less pressure on cash flow via interest-only revolving lines of credit. Leveraged Finance borrowers utilize financing for acquisitions, recapitalization, growth, or refinancing of companies by private equity investors. The amount of senior term debt is based on a multiple of the borrower’s annual cash flow (vs. the amount of available collateral) and can be used to optimize a company’s capital stack and enhance private equity returns. Loan commitments range from $3MM to $15MM+. Sunflower Bank, with approximately $4 billion in assets, is headquartered in Denver, CO and provides a full range of banking services including personal, small business, commercial, wealth management, credit cards, home loans, and more. www.sunflowerbank.com/structuredfinance