Daily News: October 30, 2014

Excelsior Capital Closes Truss Frame Investment

Excelsior Capital Partners in the Q3/14 provided a $20 million mezzanine facility to California TrusFrame in conjunction with a $30 million senior credit facility furnished by senior lenders.

“CEO John Hanna and his team have done an excellent job leading the company through one of the most challenging housing construction cycles in history,” said Ravi Bhagavatula, managing partner of Excelsior Capital Partners. “In a market where competitors were closing their doors, CTF positioned itself for future growth by investing in new processes and developing cutting-edge technologies that would set them apart from others in the industry.”

CTF’s products are developed by an experienced professional staff of registered engineers and architects, enabling complete in-house design capabilities and fast turnaround of fully engineered truss packages. With the recent addition of CTF’s Smart Components, CTF now offers cutting-edge prefabricated wall segments that greatly resist lateral force, drastically reduce build times, and provide architects and engineers a substantial increase in design flexibility over traditional wall segments. To accelerate the adoption of Smart Components, a portion of Excelsior’s investment will be used to provide training and job site assistance to framing companies utilizing Smart Components and other CTF products.

“We are very excited about the prospects of partnering with Excelsior,” said Hanna. “It will allow us to expand our operations and take advantage of the recovery that the housing market is currently experiencing.”

“As the economy continues modest recovery, we expect to see a strong demand for homeownership as buyers who have been competing with investors and facing an extreme shortage of available housing return from the sidelines,” added Steve Emerson, principal at Excelsior Capital Partners.

Riverside, CA-based CTF is a manufacturer of roof trusses, floor trusses and wall components for commercial, residential and multi-family construction.