Daily News: October 2, 2014

Fifth Street Co-Invests $195MM Facility for Veritas Buy

Fifth Street Finance and Fifth Street Senior Floating Rate co-invested in a $195 million one-stop financing facility and an equity in conjunction with Veritas Capital’s acquisition of BeyondTrust.

The BeyondTrust transaction represents the Fifth Street platform’s third transaction with Veritas.

The transaction marks the first time that FSC and FSFR have co-invested under the exemptive order recently granted by the SEC. The ability to co-invest with each other, as well as certain other private funds managed by Fifth Street Management, provides the Fifth Street platform with greater scale, investment flexibility and the ability to hold up to $250 million per transaction.

“We were delighted to be chosen from among the lenders who contended for this deal,” said Ivelin M. Dimitrov, Fifth Street Management’s chief investment officer. “By optimizing individual investment sizes, we can support our private equity sponsor clients more efficiently, streamlining the process while enhancing certainty for them.”

BeyondTrust empowers cybersecurity-conscious organizations with context-aware security intelligence, delivering privileged account management and vulnerability management solutions that reduce IT security risks and simplify compliance reporting across heterogeneous IT environments.

New York, NY-based Veritas is a private equity firm.