Staffing 360 Solutions raises $25m credit facility and $3m term loan with MidCap Financial
The public company, which is operating a global buy-and-build strategy through the acquisition of staffing organisations and which has operations in the US and Europe, stated the $3 million term loan has a term of four years and will provide working capital to support organic growth and improve the company's balance sheet.
The $25 million revolving credit facility is backed by the company's accounts receivables and will replace the company's existing $15 million facility with Wells Fargo, providing additional room for expansion as the company grows.
"This latest infusion of capital from MidCap Financial represents a major milestone on our journey," said Brendan Flood, executive chairman of Staffing 360 Solutions. "Our organic growth and selective acquisition strategy has allowed Staffing 360 to surpass $130 million in annualized revenues since 2013. With this funding and larger credit facility in place, we believe our balance sheet, our operations and our management team are now in a strong position to direct our primary focus toward our M&A pipeline. I fully expect 2015 will be an exciting time for our company as we continue to raise funds to fuel our growth."
"We look forward to working with Staffing 360 Solutions as they continue to execute their vision," said Stephen Redlich, managing director at MidCap Financial. "Companies need a lender that understands their business and has the creativity and flexibility to provide financing solutions that are suited to their needs. With their strong management team and M&A experience, we believe Staffing 360 Solutions represents significant growth potential in the fragmented staffing market."
MidCap Financial is a middle market-focused, specialty finance firm that provides senior debt solutions to businesses across all industries.