Salus Capital Partners, LLC, a private commercial finance company providing senior-secured asset-based loans to the middle market, is pleased to announce key highlights from an active 2013.
Since its inception in November 2011, Salus has provided more than $1.2 billion in loan commitments to over 50 companies across North America. The Company has strengthened its core competency in the retail and consumer space, while further diversifying across familiar sectors, including manufacturing and transportation. In 2013 alone, Salus completed 31 deals totaling more than $780 million in new loan commitments.
“We have continued to grow our business by developing credit solutions for the middle market,” said Andrew H. Moser, President and CEO of Salus Capital. “With traditional sources of capital more difficult to come by in today’s environment, we are pleased to be able to provide the financing our borrowers need to execute their business plans and achieve their potential.”
“We believe our deep industry knowledge and experience, strong track record of execution, and the level of trust that we have fostered with key intermediaries and certain private equity sponsors has proven us to be a reliable business partner,” said Marc S. Price, Executive Vice President, Loan Originations and Corporate Strategy. “The valued and unwavering support of our parent company, Harbinger Group Inc., has empowered us to scale our business and quickly respond to market demands with creative financing solutions,” added Price.
Phillip J. Gass, Managing Director of Investments at Harbinger Group Inc., said, “We are excited about the attractive long-term fundamentals for Salus Capital. The demand for customized financing has grown as many traditional bank lenders have curtailed lending, and we believe Salus is well positioned to continue serving the needs of the corporate middle-market. The market has certainly validated Salus’ expansive lending platform, as evidenced by the Company’s growth to date.”
In September of 2013, Salus closed on an additional $300 million note issuance by Salus CLO 2012-1, Ltd. (the “CLO”), bringing the aggregate amount of notes issued by the CLO to $550 million.
“The upsizing of the CLO from both existing and new investors further demonstrates the continuing market support of the Salus direct loan origination platform and our ability to attract new capital to continue our profitable growth with safety and soundness top of mind,” said Moser.
Salus continues to build its team of seasoned executives by expanding its information technology, risk management, diligence, originations, corporate development, relationship management and portfolio management capabilities.
“The experience of our team and our ever-increasing investment in scalability and systems are critical aspects of providing best-in-class service to our borrowers and to effectively managing risk. We have built Salus from the ground up by leveraging the deep institutional knowledge and experience of our team, coupled with the support of our investors. Each member of the Salus team brings critical experience to our platform as we look to continue our prudent growth in serving the corporate middle-market, with a keen focus on preservation of capital,” said Moser.
Salus Capital is a direct originator of secured asset-based loans to the middle market across a variety of industries with additional complementary financing throughout the capital structure. Target transaction sizes range from $5 million to $50 million, with the ability to hold up to $100 million and to syndicate larger transactions. The Salus Capital platform may also serve as an asset manager for like-minded institutional investors such as community and regional banks, insurance companies, family offices, private equity funds and hedge funds who may lack the infrastructure and dedicated competency within senior secured lending.