BlackRock Kelso Capital Corporation (NASDAQ:BKCC) (“BlackRock Kelso”) today announced that it has completed a transaction with Gordon Brothers Group to launch Gordon Brothers Finance Company (“GBFC”). GBFC will be a majority-owned portfolio company of BlackRock Kelso, with Gordon Brothers Group owning a minority interest. As part of the transaction, GBFC acquired from GB Credit Partners, LLC its asset-based lending business as well as a portfolio of approximately $269.0 million of loans. GB Credit Partners, LLC is an affiliate of Gordon Brothers Group.As a portfolio company of BlackRock Kelso, GBFC will continue its focus on asset-based lending. In addition, GBFC and Gordon Brothers Group have entered into a long-term, exclusive arrangement to continue to provide GBFC with access to the deep industry knowledge and valuation expertise of the entire Gordon Brothers Group platform.
The existing management and investment teams of GB Credit Partners, led by Patrick J. Dalton, President & Chief Executive Officer, have joined Gordon Brothers Finance Company. With the benefit of their expertise and a focus on asset-based investments, GBFC expects to originate attractive financing opportunities irrespective of economic or debt capital market conditions. BlackRock Kelso expects that its investment in GBFC will be accretive to net investment income.
“The creation of Gordon Brothers Finance Company puts us in an excellent capital position to grow our lending platform. We are now able to offer our middle market clients an even broader set of unique lending solutions utilizing our established network for originating loans and our proprietary valuation capabilities,” said Patrick Dalton, President & Chief Executive Officer of GBFC.
To view the full press release. Please visit the GB Finance Company website.
About BlackRock Kelso Capital Corporation
Since its formation in 2005, BlackRock Kelso Capital Corporation has provided middle market companies with flexible financing solutions, including senior and junior secured, unsecured and subordinated debt securities and loans, as well as common and preferred equity securities. BlackRock Kelso’s strategy is to provide capital to meet its client’s current and future needs across this spectrum, creating long-term partnerships with growing middle-market companies. For more information please visit www.blackrockkelso.com.
About Gordon Brothers Finance Company
Gordon Brothers Finance Company is a commercial finance company focused on middle market lending. The Company originates asset-based loans across a wide spectrum of industries. Gordon Brothers Finance Company enjoys an ongoing relationship with Gordon Brothers Group, which enhances its ability to provide capital solutions to clients in multiple industries and geographies.Gordon Brothers Finance Company is based in Boston, MA. For more information, please visit www.gbfinco.com.