Whether to meet operational demands or to support growth opportunities, debt financing is a vital source of capital for businesses. Proper financing selection is the foundation of a company’s business strategy. The corporate financing team at McDermott excels as a trusted advisor to clients on how best to structure and negotiate their financing transactions.
We represent a wide range of borrowers and lenders, ranging from privately owned companies to publicly traded corporations, private equity firms and their portfolio companies, and financial institutions of varying sizes. This diverse client base has enabled our finance team to amass experience and familiarity with the financing vehicles available in the market.
We are particularly skilled at supporting clients’ M&A needs. Working closely with our nationally recognized deal lawyers and tax practice, our lawyers deliver the full suite of business transactional legal services covering traditional M&A, project financing, private equity buyouts and add-on financings, as well as recapitalizations and restructurings. Over the past five years, we have closed more than four hundred transactional financings.
For borrowers, our service offering covers nearly every type of financing vehicle, including secured and unsecured lines of credit and debt instruments, high-yield notes and asset-based loans, and specialty financings such as tax-exempt bonds.
Supporting lenders, we possess demonstrated success structuring nearly every type of financing instrument. We represent a wide range of clients, including commercial banks, non-bank investors, asset-based lenders, business development companies, debtor-in-possession financiers and holders of subordinated and mezzanine debt.
As a strategic partner, we support our clients’ financing needs by providing updates on market conditions, maintaining relationships with lenders and creating best practices in financing documentation. We work with our clients to secure the best financing possible to fuel their business growth.
Our financing lawyers work closely with the Firm’s deal lawyers and tax practice to deliver a holistic legal package for transactional activities. For traditional M&A, we are skilled at structuring and negotiating the financing arrangement while securing preferred terms. For private equity, our lawyers understand the nuances of the industries of the portfolio companies and structure the deal accordingly. Over the past three years, the financing team has worked on more than 150 leveraged buyouts by private equity sponsors.
A growing financing option for private equity, recapitalization transactions free up capital for investors, allow the operating company to update its financing terms, increase borrowing thresholds and allow for further business growth. With numerous recapitalization transactions completed in the past few years, few firms possess the experience in recapitalizations as does McDermott.
H.I.G. Capital, LLC, on numerous transactions, including advising on the acquisition and financing of Milestone Technologies, Inc., ATX Networks Corp., the Cascades Fine Papers Group, Fox River Fiber, LLC, United States Medical Supply, Inc., and the assets associated with Ferro Corporation’s Polymer Additives Division
JPMorgan Chase Bank, N.A., with the negotiation, documentation and execution of a capital call bridge loan facility provided to a leading private equity firm that makes long term investments in middle-market companies that require turnaround, restructuring, bankruptcy or are otherwise special situations
New Harbor Capital Management LLC with its acquisition, and related financing, of a majority interest in Pain Management Solutions, LLC, a leading provider of administrative support services for affiliated multi-disciplinary outpatient pain management
Premier, Inc., with the negotiation, documentation and execution of a $750 million senior unsecured revolving credit facility provided by a syndicate of lenders for which Wells Fargo Bank, National Association, served as administrative agent
Blue Sea Capital in its acquisition and financing of Ideal Dental Management Group, LLC, a Texas-based dental services organization, MetroCare Dental Plan, LLC, its affiliated discount health care program operator, and certain other assets
Comvest Partners with the acquisition and financing of McKesson Corporation’s care management business, renamed as AxisPoint Health, a leading provider of care management services
Sensata Technologies, a supplier of sensing, electrical protection, control and power management solutions, with the negotiation, documentation and execution of its private offering of $700 million of senior notes
American Builders & Contractors Supply Co., Inc., the largest wholesale distributor of roofing in the United States and one of the nation’s largest distributors of siding, windows and other select exterior building products, with the negotiation, documentation and execution of its private offering of $350 million of senior notes
American beer entrepreneur Eugene Kashper and TSG Consumer Partners with the $500 million secured first-lien and second-lien credit facilities for the acquisition of Pabst Brewing Co.
Equity Group Investments with the $350 million senior secured financing for the acquisition of the hospital operations of Ardent Health Services
Prime Healthcare Services, Inc., and its subsidiaries, with the negotiation, documentation and execution of a $475 million revolving loan and term loan senior secured credit facility agented by Healthcare Finance Group, LLC
GE Capital with a $300 million senior secured credit facility with Rentech Nitrogen, LLC, Agrifos LLC and their subsidiaries
TriplePoint Venture Growth BDC Corp., an affiliate of TriplePoint Capital LLC, with a $30 million secured credit facility to CipherCloud, Inc. (CipherCloud), a San Jose, California-based company that develops secure gateways that locally encrypt sensitive information before it is stored in cloud environments
The administrative agent for a syndicate of lenders with the negotiation, documentation and execution of a $345 million revolving credit facility provided to Space Exploration Technologies Corp.