Project Double Print

$1,000.00

Business Process Outsourcing (BPO) Provider with Long Term Customer Contracts and Stable Cash Flow


  • Total Loan Size: $30,000,000
  • Loan Priority: Senior Secured
  • Cash Interest Rate (net, annualized): 11.7%, floating
  • Term Length: 3 years
  • Loan Amortization: Fully Amortizing (Straight-line), Monthly

Fully Subscribed

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COMPANY OVERVIEW

CrowdOut is inviting sophisticated investors to participate in a $30.0 million first lien senior term loan facility to a provider of offshore business services (the “Company”) based in Texas. The Company has a strong history of delivering high quality and cost effective Business Process Outsourcing (BPO) solutions for clients in a variety of industries. For the trailing twelve month period ending June 2018, the Company reported total revenue of $26.8 million and Adjusted EBITDA of $8.0 million.

 

INVESTMENT OPPORTUNITY

CrowdOut is seeking partners to invest in up to $10.0 million of the initial draw of the term loan. The use of proceeds of the initial draw is to finance a dividend to the Company’s primary shareholder ($6.8 million), repay existing debt ($2.9 million), fund cash to the balance sheet ($0.1 million), and fees and expenses ($0.3 million). In September 2017, the Company acquired a strategic competitor for $1.8 million, and the Company’s EBITDA has since grown 45% from $0.5 million per month to $0.7 per month. In addition to being accretive to the Company’s EBITDA, the Company diversified its customer base by industry and geography, and further expanded its service lines. The Company expects to leverage its existing infrastructure and CrowdOut’s facility to be an opportunistic acquiror in the highly fragmented BPO space. At close, the Company will have approximately $3.2 million of cash on its balance sheet and management has committed to investing in the term loan.

 

For more details, please request the credit committee memo by clicking here.

 

 

 

NON-DISCLOSURE FORM: To receive more information, please complete this Non-Disclosure Form and we will reach out to you directly.

The forward-looking statements included on this website, INCLUDING any PROJECTIONS SET FORTH herein, are not historical facts or guarantees of performance, but rather are based upon the Company’s expectations, estimates and projections.  Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “hopes,” “estimates,” “projects,” “forecasts,” “potential” and similar expressions and variations of these expressions, or future or conditional words such as “will,” “would,” “should,” “could,” or “may,” are intended to identify forward-looking statements.  Forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, many of which are beyond the control of the Company, are difficult to predict, and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements.  These risks and uncertainties include those described below in the section entitled “RISK FACTORS AND CERTAIN CONFLICTS OF INTEREST.” NO ASSURANCE CAN BE GIVEN THAT YOUR INVESTMENT OBJECTIVES WILL BE ACHIEVED.  The Company does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. You are cautioned not to place undue reliance on forward-looking statements.

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