CHICAGO--(BUSINESS WIRE)--Sept. 12, 2006--GE Antares today announced it and its sister company, GE Capital Finance Pty of Australia, are serving as the administrative agents for a $140 million of global senior secured credit facility to support Castle Harlan, Inc., a New York-based private equity investment firm, and CHAMP Private Equity, its Sydney-based affiliate, in their acquisition of Great Western Malting, Canada Malting Company, Barrett Burston Malting and a 60% interest in Bairds Malt to create United Malt Holdings ("UMH"), one of the world's largest producers of malt for use in the brewing and distilling industries. GE Capital Markets is serving as sole lead arranger and bookrunner.
The financing consists of a $120MM senior credit facility and $20MM second lien credit facility. Castle Harlan will use the proceeds of the financing to support the acquisition of UMH as well as for general corporate purposes, including growth initiatives and working capital requirements.
UMH has revenues in excess of US$400 million and operates in the United States, trading as Great Western Malting; in Canada, trading as Canada Malting Company; in Australia, trading as Barrett Burston Malting, and in the United Kingdom where it owns a 60% interest in Bairds Malt. UMH has approximately one million tons of malt production across 14 plants in four countries. The businesses were acquired from Conagra Foods Inc of the United States and Tiger Brands of South Africa.
"This is a showcase deal for GE Antares combining a detailed underwriting, including plant-by-plant understanding and analysis, and a complex structure that required funding in three countries and in multiple currencies. Castle Harlan is an important customer to our business and we are delighted to lead this financing," said Douglas Cannaliato, Senior Vice President of GE Antares.
John Haddock, associate director of CHAMP Private Equity said, "GE's full product suite, as well as their ability to underwrite and hold a large commitment, resulted in a desirable financing solution for UMH."
"We appreciate GE's responsiveness and support of UMH and our management team's plans for growth," added David Pittaway, a Castle Harlan, Inc. senior managing director.
About Castle Harlan, Inc.
Castle Harlan, founded in 1987, invests in controlling interests in the buyout and development of middle-market companies in North America and Europe. Its team of 19 investment professionals has completed 45 acquisitions since its inception with a total value in excess of $8 billion. It is currently investing its fourth fund, Castle Harlan Partners IV, which closed in August 2003 with capital commitments of $1.2 billion. The firm traces its roots to the start of the institutionalized private-equity business in the late 1960s.
Castle Harlan's current portfolio companies, which employ more than 42,000 people, include Ames True Temper, a leading manufacturer of lawn and garden tools and accessories; Horizon Lines, one of the largest U.S. container shipping companies, and Perkins Restaurant & Bakery, which is the operator and franchisor of 480 family restaurants.
About Castle Harlan Australian Mezzanine Partners Pty Limited ("CHAMP Private Equity")
CHAMP Private Equity was founded in 2000 by Australian Mezzanine Investments and Castle Harlan and is Australasia's largest independent manager of private equity funds. It is the adviser to the CHAMP I and CHAMP II funds which have funds of approximately A$1.5 billion for investment in buy-outs in Australasia. CHAMP Private Equity and its predecessor have made private equity investments in more than 30 businesses including Austar Communications Limited, the provider of subscription TV services to rural and regional Australia and Bradken Limited, a leading manufacturer of steel based consumables and capital equipment for the mining and freight rail industries. Current CHAMP Private Equity investments include ADR, Australia's largest operator of discount department stores and Manassen Foods, the leading importer and distributor of branded food products in Australia.
About GE Antares Capital
GE Antares Capital is a unit of GE Commercial Finance - Global Sponsor Finance. With over $8 billion in assets, and offices in Boston, Chicago, London, New York, and San Francisco, GE Antares offers a "one-stop" source for GE's lending and other services offered to the private equity sponsor middle market. Visit www.geantares.com.
About GE Commercial Finance
GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of over $206 billion and is headquartered in Norwalk Connecticut. GE (NYSE: GE) is Imagination at Work - a diversified technology, media and financial services company focused on solving some of the world's toughest problems. With products and services ranging from aircraft engines, power generation, water processing and security technology to medical imaging, business and consumer financing, media content and advanced materials, GE serves customer in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's website at www.ge.com.
Contacts GE Commercial Finance, Norwalk
Ned Reynolds, 203-229-5717
[email protected]
Yvette Pistorio
Arment Dietrich Inc.
[email protected]
(312)-787-7249