First West Capital Provides Funding for SydneyPLUS Acquisition
SydneyPLUS, a global provider of knowledge management software, acquired Massachusetts-based Inmagic’s special library automation business through funding from First West Capital. The acquisition, which was completed in late 2011, gives SydneyPLUS great growth opportunities and enables the company to continue delivering world-class products to their customers around the globe.
SydneyPLUS had been looking to expand its operations for some time and although Ron Aspe, president of the company had financed previous business expansions in the past, the magnitude and nature of the Inmagic deal required him to find a new funding source. After encountering roadblocks and delays, Aspe was encouraged by First West Capital’s responsiveness, proactive nature and willingness to finance the acquisition within an aggressive time frame.
“Working with the First West Capital team has been a very positive experience,” says Aspe. “Kristi and Robert really took the time to engage in discussions with the Inmagic team, which helped to make this whole acquisition process run smoothly. They made a tremendous effort to gain a deeper understanding of the business and were very thorough, asking all the right questions, which really cemented my decision to partner with them for this deal.”
First West Capital vice-president Kristi Miller shares there were a number of factors that worked in SydneyPLUS’ favor as a cross-border buyer: “The availability of credit, continuing low interest rates, strong Canadian dollar and motivated U.S. sellers were all positive factors in doing this deal.”
First West Capital vice president Robert Napoli noted that Aspe has a clear sense of where he wanted to take his business. “The Inmagic acquisition is a great strategic fit for SydneyPLUS,” said Napoli. “The company has long been recognized as a world class supplier of knowledge management systems and now, with the addition of Inmagic’s products, SydneyPLUS can reach a whole new set of clients by providing entry level and mid-range library automation products. First West Capital is very excited to be a part the company’s expansion and we certainly anticipate great growth opportunities for SydneyPLUS with the addition of the Inmagic division.”
First West Capital is a $60 million fund established to provide subordinated debt and mezzanine financing to small- and medium-sized businesses. Led by Kristi Miller and Robert Napoli, the First West Capital team has more than 25 years of commercial lending experience including 18 years in subordinated debt financing.