Crystal Financial LLC announced the closing of a Senior Credit Facility for Computer Data Source (“CDS” or “the Company”) An accordion facility was also provided. CDS is a leading specialist provider of enterprise-level data center third-party maintenance, focused on high-end data storage. With global service capabilities and more than 500 contracts, CDS provides sophisticated engineering capabilities and client-centric focused solutions. The Company partners with major technology service providers to deliver installation, implementation, support, training and data center administration services to end-users across a broad range of industries.
New State Capital Partners (“NSCP”) acquired a majority stake in CDS in August 2019. The financing was utilized to complete the acquisition and will also provide for future working capital needs as well as facilitate potential add-on acquisitions.
“CDS represented an excellent opportunity for us to invest in the IT life-cycle management sector specifically third-party maintenance,” said John Beauclair, Senior Principal at New State Capital Partners. “The transaction needed to close quickly and required a lender with the ability to navigate the complexities of global operations in addition to understanding the technical drivers of CDS’ business model. Crystal is a reliable financing partner and we are pleased to be working with them on this investment.”
Steve Migliero, Co-CEO of Crystal Financial added, “This is the second transaction we have financed for NSCP and we support their investment thesis and approach to creating value with middle market companies. This management team is highly experienced and has a proven track record of delivering mission critical services and technical support for their customers which include many Fortune 100 companies. We are excited to be working with both NSCP and CDS.”
About Crystal Financial LLC
Crystal Financial LLC, a portfolio company of Solar Capital Ltd. is a leading provider of direct private credit focused on originating, underwriting and managing both asset-based and cash flow financings to middle-market companies. Since inception in 2006, its team of experienced, responsive professionals have provided more than $4 billion in secured debt commitments across a wide range of industries. For more information please visit www.crystalfinco.com.
About CDS
CDS is a market-leading provider of mission-critical data center hardware maintenance and support for high-end storage and service equipment. CDS offers post-warranty support services primarily through OEMs and Channel Partners, servicing a diversified customer base throughout the U.S., U.K., Canada, Germany and Australia. The company’s maintenance and support services are designed to extend the useful life of its clients’ hardware, further increasing return on investment for these systems. CDS employs highly skilled, industry-certified engineers and dedicated account managers and partners globally. The Company currently services 150+ clients and works with 75+ channel partners that also operate as clients with significant IT infrastructure, diverse maintenance needs and cost containment requirements. https://www.cds.net/
About New State Capital Partners
New State Capital Partners LLC is an entrepreneurial-minded private equity firm that strives to be more nimble, more decisive and more cooperative than larger, institutional firms. New State prides itself on a long-term outlook, approaching each potential investment as an opportunity to create lasting and valuable relationships, rather than as an exercise in meeting rigid investing criteria. The firm is very flexible about the structure of its investment and focuses on growth and add-on investment. New State seeks to invest in market-leading companies with $8 million to $30 million of EBITDA in the areas of business services, healthcare services and industrials. New State can commit more than $50 million of equity capital per transaction through New State Capital Partners II, LP. New State and its affiliates have invested in 22 companies to date. For more information visit www.newstatecp.com.
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