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Financing

Overview

To compete and grow, the modern middle market company requires a flexible and well-planned capital structure. The Stonegate Group seeks to advise its clients and raise the necessary equity and/or debt to accomplish the shareholders' goals. Those goals typically include the need for:

  • Expansion Capital
  • Financing for Acquisitions
  • Management\Leveraged Buyouts

With its strong relationships across a broad range of institutional investors, The Stonegate Group is well positioned to raise capital for its corporate clients. Often this process begins with consulting clients on their existing capital structure and incorporating any additional funding required for future capital expenditures including acquisitions or growth in working capital. We then advise clients on the optimal capital structure, keeping in mind the specific needs and objectives of the company. If additional funding is required, Stonegate can assist the client in accessing the appropriate capital markets.

Private Equity

The Stonegate Group maintains relationships with a broad array of private equity funds, sponsors, and sophisticated high net worth investors seeking to invest capital in middle market companies. Many private equity sources focus on change of control transactions including management buyouts while others pursue emerging growth opportunities, industry consolidation plays, or turnarounds. Our knowledge of these sources enables us to assist clients in attracting the most advantageous equity partner possible.
 

Acquisition/Growth Capital

Often an acquisition or rapid internal growth causes a company's leverage to increase beyond the comfort zone of traditional senior lenders. In such cases, The Stonegate Group can raise subordinated or mezzanine capital from a deep market of higher risk/higher return investors.

As an advisor, The Stonegate Group will:

  • Develop the optimum financing structure, taking into account the client's historical and projected operating results, shareholder / management needs and investor requirements.
  • Prepare all requisite offering materials for institutional investors to make a solid commitment to purchase the offered securities.
  • Negotiate conditions to obtain commitments on all material terms, including pricing, prepayments, covenant structure, etc.
  • Manage all subsequent phases of the process, including due diligence sessions and the documentation process, to assure a timely close.
  • Negotiate the financial terms of a business acquisition

Debt Financing

The Stonegate Groupí extensive relationships with several commercial banks and fixed-rate investors which enable us to arrange debt financing for our clients. We work with clients to structure the financing and approach a select group of institutional sources, creating a competitive environment among lenders such that each proposal offers the best possible terms. The Stonegate Group assists its clients in selecting the best financing and advises them throughout the documentation and funding process.

Working Capital and Term Financing

The Stonegate Group acts as agent and advisor to clients in expanding or replacing revolving credit and term lending facilities, which are often secured by the assets of the company. Our knowledge of, and relationships with, domestic money center and regional banks, foreign banks, asset-based lenders, cash flow lenders and finance companies are extensive. While advising clients on structural aspects of the facility, The Stonegate Group approaches the appropriate sources, obtains proposals and assists throughout negotiation and documentation. Clients often use Stonegate to diversify, expand or improve their existing working capital lending relationship.

 

 
The Stonegate Group, Ltd : 707 Lake Cook Road, Suite 230 : Deerfield, IL 60015 || Ph: (847) 498-0600 : Ph: (847) 498-0602 : Fax: (847) 498-0250 || © Copyright 2009 The StoneGate Group, Ltd. All Rights Reserved