NORWALK, Conn.--(BUSINESS WIRE)--GE Commercial Finance today announced it acted as administrative agent for a $143 million senior secured credit facility to support the acquisition of Coastal Concrete LLC, a company acquired by Park Avenue Equity Partners II, LLC ("Park Avenue"). GE Capital Markets served as lead arranger and bookrunner.
The financing consisted of a $20 million senior secured revolving credit facility, a $93 million senior secured term loan, and a $30 million unsecured mezzanine loan. Proceeds of the credit facility were used to support Park Avenue's acquisition of Coastal Concrete, Inc. as well as to finance its future working capital needs.
Headquartered in Bluffton, South Carolina, Coastal Concrete is a leading ready-mixed concrete supplier to residential and commercial customers in South Carolina, Georgia and Florida. Coastal operates a network of eleven permanent ready mix concrete plants, three mobile concrete plants, and a fleet of 109 front-loading mixer trucks.
"We are delighted to partner with Park Avenue and Coastal's management team," said Douglas Cannaliato, Senior Vice President of GE Antares. "Park Avenue knows this industry well through their previous and very successful investment in Meyer Material. Additionally, Tim Coleman, CEO of Coastal, is an impressive manager with tremendous drive."
"With the Southeast being one of the strongest areas of demand for construction in the US, the ready-mixed concrete industry should continue seeing regional growth," said Gene Leary, Construction Industry Leader for GE-Corporate Lending. "With $3.5 billion invested in the construction industry, GE is focused on the market and the trends impacting it."
Dan Kinder, Partner, at Park Avenue said, "We appreciate GE Commercial Finance's support and responsiveness on the Coastal financing. The GE team's responsiveness allowed us to meet a tight timeframe."
About Park Avenue Equity Partners
Park Avenue Equity Partners is a $110 million private equity firm focused on middle-market companies in a wide range of industries. The Partners have contributed approximately 25% of the Fund's committed capital and have broad experience in all aspects of private equity. Park Avenue Equity makes equity and equity-linked investments in companies with opportunities for growth, established profitability and excellent management teams. The Firm is an active partner with management in building the value of its portfolio companies.
About GE Commercial Finance
GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of over $233 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 customers 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.