Abacus Finance Group, (Abacus), a New York-based specialty finance company, has acted as Administrative Agent and Sole Lead Arranger for USD16 million in senior cash-flow financing to support the leveraged buyout of Industrial Magnetics, Inc (IMI) by River Associates Investments LLC (River Associates).
Abacus focuses exclusively on providing cash-flow financing for private equity-sponsored, lower-middle market companies. Legal counsel to Abacus was provided by Goulston & Storrs, LLP.
Headquartered in Boyne City, Michigan, IMI is an industry leader in providing permanent magnets and electromagnets for work-holding, lifting, fixturing, conveying and magnetic separation. River Associates Investments LLC, based in Chattanooga, Tennessee, is a private equity partner for management teams of lower middle market companies in buyouts, divestitures and recapitalisations.
“Abacus was a great fit for the Industrial Magnetics transaction. They were willing to work hand-in-hand with our team at River Associates and the company to fund this transaction on an expedited basis,” says Patten Pettway, Partner at River Associates. “The Abacus team provided a strong financing solution and followed that up with a smooth execution. We highly recommend Abacus Finance as a financing partner.”
“We are delighted to begin a relationship with River Associates and provide support to Industrial Magnetics – an industry leader which has been in business for over a half a century. Industrial Magnetics has a strong management team and a consistent track record of generating strong cash flow,” says Tim Clifford, President and CEO of Abacus. “They were particularly pleased by the level of service we were able to provide in terms of speed, certainty of close, and flexibility in transaction structuring – all part of Abacus’s client-centric Total Partnership Approach.”
