Prospect Capital Corporation announced that it has provided $100 million of senior secured debt financing to support the recapitalization of Broder Bros.
Founded in 1919 and headquartered in Trevose, Pennsylvania, Broder is the leading distributor of imprintable activewear in the United States. Broder operates the largest distribution network in the industry, with eight distribution facilities providing imprintable T-shirts, fleece, sport shirts, and other imprintable “soft goods” to approximately 100,000 customers. Littlejohn & Co., LLC (“Littlejohn”), a leading middle-market private equity firm, is Broder’s largest stockholder.
“Prospect impressed us with its diligent and efficient underwriting process, helping to recapitalize Broder to position the company for long-term success,” said David Simon, a Managing Director of Littlejohn.
“With our scale team, one of the largest and most experienced in the middle-market, coupled with our deep credit expertise, we are pleased with completing the Broder transaction to support Littlejohn and Broder’s experienced management team,” said Richard Carratu, a Managing Director of Prospect Capital Management LLC.
Prospect has closed approximately $800 million of new originations during the current March 2013 quarter, bringing trailing-twelve-month originations to nearly $3 billion.
ABOUT PROSPECT CAPITAL CORPORATION
Prospect Capital Corporation (www.prospectstreet.com) is a closed-end investment company that lends to and invests in private and microcap public businesses. Our investment objective is to generate both current income and long-term capital appreciation through debt and equity investments.
We have elected to be treated as a business development company under the Investment Company Act of 1940 (“1940 Act”). We are required to comply with a series of regulatory requirements under the 1940 Act as well as applicable NASDAQ, federal and state rules and regulations. We have elected to be treated as a regulated investment company under the Internal Revenue Code of 1986. Failure to comply with any of the laws and regulations that apply to us could have an adverse effect on us and our shareholders.