SCOTTSDALE, Ariz.--(BUSINESS WIRE)--March 3, 2005--Bay Area Beverage Company, the exclusive distributor of branded beverages in Alameda and Contra Costa (Calif.) counties, recently completed a $50 million deal with GE Commercial Finance, Franchise Finance (GEFF) to support the growth of the company.
GEFF was the sole lead arranger on the agreement, which made Bay Area Beverage Company the largest distributor in the region. The agreement allowed Bay Area Beverage Company to acquire Concord Beverage, gain additional collateral, and buy a new warehouse.
"Bay Area Beverage Company is now ranked in the top 10 percent of all distributors in California," says Tom F. Louderback, CEO, Bay Area Beverage Company. "We are successful because of our people and the relationships we have in the business. Having a relationship with GEFF will only propel us further."
After selling his first case of beer on March 5, 1969, Louderback, who played football for the Philadelphia Eagles and the Oakland Raiders, established Bay Area Beverage Company. With the help of the Bay Area Beverage Company leadership team and its relationship with GEFF, the company has grown to more than 200 employees and now represents the brands of more than 20 suppliers and distributes more than seven million cases annually.
"GEFF is clearly ahead of the curve," says Louderback. "In the past, we've always had to educate bankers to secure financing, but not with GEFF. Our franchise representative, Sean McLaren, knows as much technically and statistically as Bay Area Beverage Company does."
As an experienced distributor and businessman, Louderback knew to review his options when seeking financing for the acquisition. After exploring a number of offers, he selected GEFF because of the company's service record and competitiveness of the proposal.
"The structure of the loan was very important to Bay Area Beverage Company in the completion of this deal," says Sean McLaren, senior vice president, GEFF. "At GEFF, we tailor programs to fit each customer's needs and the deal with Bay Area Beverage Company is a great example of that."
GEFF provides financing for new store construction, acquisitions, remodeling, and refinancing to all types of franchise businesses, including restaurants, hotels, branded beverage, and self-storage. The company supports its customers through innovative programs designed to help them grow, compete, and prosper.
GE Commercial Finance, Franchise Finance (GEFF) is a leading lender for the franchise finance market via direct sales and portfolio acquisition in the United States and Canada. With more than $12 billion in served assets, GEFF serves more than 6,000 customers and more than 21,000 property locations, primarily in the restaurant, hospitality, branded beverage, storage, and automotive industries. GEFF offers customers access to capital with a menu of products featuring flexible structuring, including financing for acquisitions, refinancing, construction of new units and remodels for single- and multi-unit operators/chains. More information is available at www.gefranchisefinance.com or by calling toll-free 866-GET-GEFF (438-4333).
GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of more than US$230 billion and is headquartered in Stamford, Conn., USA. General Electric (NYSE: GE) is a diversified technology and services company dedicated to creating products that make life better.
Contacts
Tag Team Global, Chicago
Gini Dietrich, 312-787-7249
[email protected]
or
GE Commercial Finance, Franchise Finance, Scottsdale
Christine Roe, 480-563-6260
[email protected]
Jeff Wilson
GE Capital Corporate Finance
[email protected]
1-203-749-6340