Daily News: January 27, 2014

BDCA Facilitates $54MM Refinancing for Boston Market

Business Development Corporation of America (BDCA), a business development company primarily focused on senior debt investments in middle market private companies, closed on a direct originated financing transaction for Boston Market Corporation.

Boston Market is a leader in the fast casual restaurant segment, with approximately 480 restaurants across the United States. Boston Market is owned by an affiliate of Sun Capital Partners.

The financing provided by BDCA consisted of a $54 million second lien senior secured credit facility, with a five-year term and one-year call premium. Proceeds from the financing were used to refinance an existing credit facility, provide working capital liquidity for new store build-outs and to distribute a small return of capital to the sponsor. BDCA retained $25 million of the financing.

“We see our investment in Boston Market as a great opportunity to provide capital to a leading player in the fast casual restaurant segment,” said Pete Budko, president and COO of BDCA. “Our direct origination team continues to find and execute upon highly attractive middle market financing opportunities for our shareholders.”