Golub Capital has a long-term perspective and the flexibility to meet the objectives of owners and senior management. The firm's funds invest in both independent companies and transactions supported by financial sponsors.
The firm invests $5 million to $75 million per transaction in:
GOLD: Golub Capital's One-Loan Debt Facility
Golub Capital provides GOLD financing for LBO's, recapitalizations and refinancings. The firm will lead or co-lead the entire facility and often holds the entire amount. Revolving credit tranche is managed by Golub Capital.
| Amortization: |
Very low |
| Interest Rate: |
Market coupon, floating or fixed. Willing to consider substantial interest deferral |
| Structure: |
Single-tranche or multi-tranche facilities |
| Total Leverage: |
Market leverage multiple |
Senior Debt Financings
Golub Capital provides senior credit facilities in connection with LBO's, recapitalizations and refinancings. The firm has the ability to provide revolving credit facilities, delayed-draw and acquisition lines, capital expenditure facilities and term loans.
| Amortization: |
Appropriate to the transaction |
| Interest Rate: |
Market coupon |
| Security Interest: |
Generally a first lien on all assets. Willing to consider a bifurcated collateral package with a revolver secured by a first lien on the working capital assets |
| Senior & Total Leverage: |
Market leverage multiples |
Last Out and Second Lien Senior Debt
Golub Capital provides solution-oriented financing to extend the debt provided by traditional senior lenders. Last Out and Second Lien senior debt is generally structured as coupon-only and priced between traditional senior and mezzanine financing rates. We also participate in facilities led by other lenders.
| Structure: |
Independent facility or junior tranche of the senior facility |
| Amortization: |
None |
| Interest Rate: |
Market coupon, floating or fixed. Willing to consider substantial interest deferral |
| Intercreditor Terms: |
- Pari-passu with other senior lenders in right to a payment prior to a payment default
- Subordinated to other secured senior debt in liquidation |
| Total Leverage: |
Market leverage multiple |
Traditional Subordinated Debt
Golub Capital provides traditional subordinated debt capital to middle market companies for LBO's, recapitalizations, growth and acquisitions.
| Structure: |
Subordinated notes with or without warrants |
| Term: |
Up to nine years |
| Amortization: |
None |
| Coupon: |
Floating or fixed rate. Willing to consider substantial interest deferral |
| Ranking: |
Subordinated to senior credit facilities |
| Security Interest: |
Unsecured or silent second lien |
| Total Leverage: |
Market leverage multiple |
Preferred Equity Financings
Golub Capital provides preferred equity on a minority basis.
| Structure: |
Redeemable preferred with warrants |
| Pricing: |
Total return somewhat above traditional subordinated debt |
Common Equity Co-Investments
Golub Capital makes equity co-investments on a stand alone basis and in combination with debt financing.
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