DALLAS, July 17, 2018 (GLOBE NEWSWIRE) -- Capital Southwest Corporation (“Capital Southwest”) (Nasdaq:CSWC), an internally managed business development company focused on providing flexible financing solutions to support the acquisition and growth of middle market businesses, announced today that it supported Concentric Equity Partners’ recent refinancing of Environmental Pest Service, LLC (“EPS”), with a $16.3 million first lien term loan and a $7.0 million delayed draw facility. Capital Southwest will act as the sole administrative agent on the credit facility.
"We are excited to have the opportunity to partner with Concentric Equity Partners and to support EPS’ continued growth,” said Josh Weinstein, Managing Director of Capital Southwest. “EPS is one of the fastest growing pest control service providers in the southeastern United States, has built an impressive leadership position in its markets and is led by a strong management team. We also find attractive the full economic cycle performance of the pest control industry, which is non-cyclical in many respects.”
Environmental Pest Service, headquartered in Tampa, Florida, operates through four pest control, termite and lawn service brands across Florida, North Carolina and Georgia. These brands include Arrow Environmental Services (Western Florida), Bug Out Service (Eastern Florida), Skyline Pest Solutions (Georgia) and State Pest Control (North Carolina). The business has completed 87 acquisitions since 2010 and will utilize its delayed draw facility to continue its expansion both through acquisitions and organically.
About Capital Southwest
Capital Southwest Corporation (Nasdaq:CSWC) is a Dallas, Texas-based, internally managed business development company, with approximately $308 million in net assets as of March 31, 2018. Capital Southwest is a middle market lending firm focused on supporting the acquisition and growth of middle market businesses with $5 to $25 million investments across the capital structure, including first lien, unitranche, second lien, subordinated debt and non-control equity co-investments. As a public company with a permanent capital base, Capital Southwest has the flexibility to be creative in its financing solutions and to invest to support the growth of its portfolio companies over long periods of time.
About Concentric Equity Partners
Concentric Equity Partners is a Chicago-based private equity firm with over $1 billion of equity commitments under management and typical investment sizes of $10 to $30 million. The firm seeks to support entrepreneurs and businesses with long-term patient capital, operating expertise and industry knowledge. Concentric invests in industries where there is the potential for significant growth including business, consumer, financial and technology-enabled services. Concentric was founded in 2003 by Kenneth Hooten and combined with FIC in 2007 to bolster investment capabilities between the two firms and increase direct investments by FIC into private companies.
Forward-Looking Statements
This press release contains historical information and forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 with respect to future dividends, market conditions, and the business and investments of Capital Southwest. Forward-looking statements are statements that are not historical statements and can often be identified by words such as “will,” “believe,” “expect” and similar expressions and variations or negatives of these words. These statements are based on management's current expectations, assumptions and beliefs. They are not guarantees of future results and are subject to numerous risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement. These risks include risks related to changes in the markets in which Capital Southwest invests, changes in the financial and lending markets, regulatory changes, tax treatment and general economic and business conditions.
Readers should not place undue reliance on any forward-looking statements and are encouraged to review Capital Southwest's Annual Report on Form 10-K for the year ended March 31, 2018 and subsequent filings with the Securities and Exchange Commission for a more complete discussion of the risks and other factors that could affect any forward-looking statements. Except as required by the federal securities laws, Capital Southwest does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changing circumstances or any other reason after the date of this press release.
Investor Relations Contact:
Michael S. Sarner, Chief Financial Officer
214-884-3829
Source: Capital Southwest Corporation