Comvest Credit Partners acted as Administrative Agent in providing a new $120 million senior secured credit facility to Purchasing Power. The transaction, with institutional alternative management firm Crestline Investors, marks a continuation of Comvest’s support of the Atlanta-based voluntary benefits provider of employee purchase programs. Purchasing Power has been part of Comvest’s direct lending portfolio since it was acquired by private equity investment firm Flexpoint Ford in 2016. The Financing was used to refinance existing debt, provide a dividend to existing investors, and fund ongoing growth of the business.
Founded in 2001, Purchasing Power offers a leading employee purchase program for consumer products and services, and financial tools and resources to improve employee financial wellness. Purchasing Power serves Fortune 500 companies, associations, and government agencies, giving millions of employees immediate access to products and services, with no interest, fees, or credit checks. Purchasing Power sells thousands of top brands that span numerous consumer-oriented product categories such as electronics, computers, furniture, and appliances.
“Purchasing Power is a proven market leader whose history and extensive roster of corporate relationships coupled with its catalogue offering provide financial flexibility for employees and serve as a valuable benefits offering for employers,” said Jason Gelberd, Partner, Co-Head of Direct Lending, at Comvest. “Comvest is pleased to have served as Purchasing Power’s primary credit financing provider for the last six years, delivering tailored solutions for a variety of capital needs, including the company’s acquisition by Flexpoint Ford, the refinancing of existing facilities, and growth capital.”
“Comvest drew upon our extensive experience in the financial services and e-commerce industries to develop a flexible capital solution tailored to Purchasing Power’s unique needs for operations and growth,” said Scott Soracoe, Principal, at Comvest. “We look forward to continuing our longstanding relationships with company leadership and Flexpoint Ford to support Purchasing Power’s continued success.”
“The flexible financing structure enables Purchasing Power to continue to expand its core product offering, invest in new solutions for its customers and have undrawn capital in reserve,” said Ron Oertell, CFO of Purchasing Power. “Comvest and Crestline proved great partners in this transaction, and we look forward to working with them again in the future.”