The Situation

Global Capacity was formed with the merger of three previously unrelated network design and data center management businesses. Substantial financing was required to complete the merger and recapitalize the company’s balance sheet. The consolidation of three companies that separately lacked positive EBITDA history represented the most challenging aspect of obtaining debt financing.

The Transaction

We worked with management to validate the significant synergies that would show positive EBITDA on a pro forma basis. Tapping our broad base of financing sources, we identified specialty lenders interested in non-traditional collateral and structured an all-debt transaction supported by the company’s proprietary, internally-developed intelligent database and other assets.

The Result

The debt solution we delivered enabled Global Capacity to complete the acquisitions and structure a balance sheet that provided for future working capital needs while minimizing equity dilution.