Wise Foods, which is backed by Palladium Equity Partners, said Wednesday that it has completed a $48 million credit facility. Berwick, Pa.-based Wise Foods, which makes and sells salty snacks like Cheez Doodles, will use the loan to refinance existing debt and provide a dividend to shareholders. Ally Commercial Finance and Siemens Financial Services were the lenders. Palladium Equity is a New York PE firm.
Wise Foods, Inc., a leading regional salty snack company, announced today the completion of a new $48 million credit facility. The new facility is being provided by Ally Commercial Finance, as Lender and Arranger, and Siemens Financial Services, Inc. as Lender and Syndication Agent, and includes a revolving credit line and a term loan.
The new debt arrangements will allow Wise to refinance existing debt, providing the Company with a significantly enhanced capital structure and financial flexibility to pursue future opportunities for growth. Additionally, the facility will be used to return capital to certain funds affiliated with Palladium Equity Partners, LLC (“Palladium”) through a dividend payment. Wise was acquired by an affiliate of Palladium in October 2000.
Edward M. Lambert, the Chairman and CEO of Wise said, “We are delighted that Wise’s continued performance, strong balance sheet and competitive position have enabled us to increase our financial flexibility through this transaction. We are very pleased with the progress the Company has made in a challenging environment, and view the successful completion of this financing facility as recognition of our accomplishments and superior position for the future.”
“We appreciate the continued support of Palladium, Ally, and Siemens, who each have long-standing relationships with the Company. Thanks to their support, and the hard work of our dedicated employees and management team, the Company is well-positioned for continued growth in the future,” he concluded.
About Wise Foods (www.wisesnacks.com)
Founded in 1921, Wise Foods, Inc. is a private company based in Berwick, Pennsylvania that makes and sells salty snacks on the eastern seaboard of the United States. Best known for its potato chips, Wise also offers other salty snack products which include cheese snacks, popcorn, tortilla chips and corn chips. The company’s brands include Wise Potato Chips, New York Deli Kettle Cooked Potato Chips, Ridgies Potato Chips, Cheez Doodles, and Dipsy Doodles Corn Chips. For more information, visit Wise’s web site at www.wisesnacks.com.
About Ally Commercial Finance (www.allycf.com)
Ally Commercial Finance (Ally CF) provides secured lending products to meet the unique needs of equity sponsors and middle-market companies in North America. The business specializes in providing senior secured, asset-based and cash flow loans for midsize companies. Typical clients include manufacturers, distributors, retailers, and service companies in a broad spectrum of industries including specialty areas such as healthcare, retail, and automotive. Ally CF is part of Ally Financial Inc. (formerly GMAC Inc.) which operates as a bank holding company with more than $173 billion in assets as of Sept. 30, 2010. For more information, visit the Ally media site at http://media.ally.com.
About Siemens Financial Services, Inc. (www.usa.siemens.com/finance)
Siemens Financial Services, Inc. (SFS Inc.) is a leading provider of business-to-business financial services in the United States. SFS is a committed business ally that combines deep industry expertise with integrated financing solutions to enhance the efficiency, productivity, and competitiveness of its customers. The company, based in Iselin, NJ, enables business expansion for thousands of customers in the healthcare, energy, and industrial sectors by providing customized solutions that range from equipment financing and working capital to project and export finance, and insurance solutions.
About Palladium Equity Partners (www.palladiumequity.com)
Palladium Equity Partners, LLC, along with its affiliates (“Palladium”) targets investments in business services companies as well as in financial services, consumer/retail, food/restaurants, healthcare, manufacturing and media businesses. Palladium has a focus on companies that are well-positioned to capitalize on the fast-growing U.S. Hispanic market. The principals of Palladium have directed investments of over $2.5 billion of equity in more than 60 portfolio companies over the last two decades.