FS Investments, an alternative investment manager and the largest manager of business development companies (BDCs), announced that its BDC direct lending platform committed more than $1.4 billion in senior secured loans and other debt and equity financing to middle market companies in the first quarter of 2017. The directly originated investments supported seven new portfolio companies and provided financing to several existing portfolio companies during the quarter.
The commitments were provided by five BDCs managed by affiliates of FS Investments and sub-advised by GSO Capital Partners LP (GSO) or its affiliates: FS Investment Corporation (NYSE: FSIC), FS Investment Corporation II (FSIC II), FS Investment Corporation III (FSIC III), FS Investment Corporation IV (FSIC IV) and FS Energy and Power Fund (FSEP).
FS Investments' directly originated transactions, which are unique to its BDCs and not typically accessible elsewhere, included investments in the following companies in the first quarter:
Jet Support Services Inc. (JSSI)
FSIC, FSIC II, FSIC III, FSIC IV and FSEP provided a new senior secured unitranche loan to JSSI. Based in Chicago, IL, JSSI is the world's largest independent provider of hourly cost maintenance programs for aircraft engines, auxiliary power units and airframes.
United Subcontractors Inc. (USI)
FSIC, FSIC II, FSIC III and FSIC IV provided senior secured financing to support the acquisition of USI by Trilantic Capital Partners, a New York-based private equity firm with commitments throughout North America and Europe. USI is the nation's third-largest provider of installation, construction and distribution services to residential and commercial construction markets.
Chisholm Oil and Gas Operating, LLC (Chisholm)
FSIC, FSIC II, FSIC III, FSIC IV and FSEP provided new financing to Chisholm to support the company's acquisition of assets in Oklahoma's STACK play. Headquartered in Tulsa, OK, Chisholm is a private equity-backed oil exploration and production company. Its management team has extensive experience finding and developing oil and gas assets across the Mid-Con and Bakken formations, the Gulf Coast and internationally.