Golub Capital announced that as joint lead arranger and co-documentation agent, it provided a $295 million senior credit facility to support the merger between Joerns Healthcare, LLC ("Joerns"), owned by Quad-C ("QC") since 2010, and Recovercare, LLC ("RCR"), owned by Aurora Capital ("Aurora") since 2009.
The transaction creates a leading manufacturer and rental provider of bed systems, therapeutic support surfaces ("TSS"), safe patient handling equipment ("lifts"), and wound care products. The combined company will be the leading provider of beds, TSS, and lifts within the skilled nursing and long-term acute care market segments.
"We were impressed with Golub's ability to add value to our financing execution by making a significant commitment quickly and definitively," said Frank Winslow, Partner of Quad-C. "We look forward to working with them in the future."
"This transaction is the latest example of our firm's strong partnership with Golub," said Michael Marino, Partner of Aurora Capital. "Consistent with our past experiences, Golub has proven to be a reliable and decisive source of flexible financing solutions."
"We are excited to support Quad-C and Aurora in their efforts to form a market-leading platform through the combination of these two strong businesses," said Troy Oder, Managing Director of Golub Capital. "We believe that Joerns is well-positioned for continued success based on the strength of its management team and the quality of strategic oversight provided by these two leading middle-market sponsors."
With over $10 billion of capital under management, Golub Capital is a leading provider of financing solutions for the middle market, including one-loan financings (through the firm's proprietary MiniGOLD, GOLD, and MegaGOLD facilities), senior, second lien, and subordinated debt, preferred stock and co-investment equity. The firm underwrites and syndicates senior credit facilities up to $300 million. Golub Capital's hold sizes range up to $200 million per transaction.
Founded in 1989 and headquartered in Charlottesville, Virginia, Quad-C is a middle-market private equity firm focused on investing in well-established business services, consumer, general industrial, healthcare, specialty distribution and transportation/logistics companies. In its 25-year history, Quad-C has invested over $2 billion of equity across more than 50 companies.
Aurora Capital Group is a Los Angeles-based private investment firm managing over $2.0 billion of capital across several private equity funds. Aurora's traditional private equity vehicle, Aurora Equity Partners, focuses principally on control investments in middle market businesses with leading market positions, strong cash flow profiles and actionable opportunities for growth in partnership with operating management. Aurora's investors include leading pension funds, financial institutions, endowments and foundations active in private equity investing.