The VMC Group, Inc. (Bloomingdale, NJ) a leading manufacturer of vibration isolation and seismic design and shock control systems, refinanced its senior and subordinated debt in conjunction with repurchasing shares from its previous mezzanine investor. Fifth Third Bancorp led the $20.4 million refinancing with a combined senior and mezzanine financing package.
“We are very pleased to complete a successful recapitalization during one of the most turbulent periods in the history of the debt markets” stated VMC CEO John Wilson. “Our sales had grown over 125% since our initial buyout in 2005 and the new capital positions VMC for its next stage of growth”. Cave Creek Capital is a shareholder and advised VMC in structuring and closing the transaction. Managing Partner Kevin Fechtmeyer notes; “We were fortunate to have received several term sheets from lenders given VMC’s strong performance in a soft economy. Fifth Third was a reliable and creative partner in this process and they moved decisively to complete the transaction within the targeted terms and timeframe.”
The prior mezzanine investor, Hill Street Capital, received liquidity for a portion of its shares at a valuation of 8X the original valuation and retains a minority interest in VMC.
Cave Creek Capital Contact:
Jourdin Lambright, Administrator
Phone: (480) 478-6960