Daily News: March 6, 2014

GB Credit Partners Provides JW Resources $15MM Facility

GB Credit Partners announced it provided a senior secured credit facility of approximately $15 million to JW Resources that will finance its ongoing working capital needs. The facility includes a term loan secured by the company’s machinery & equipment, and a revolving credit facility secured by working capital assets.

JW Resources, majority owned by Bayside Capital, an affiliate of H.I.G Capital, is focused on identifying, acquiring and operating low-cost thermal and metallurgical coal mining and related assets in the United States. In February 2013, JW Resources acquired the Straight Creek and Red Bird thermal coal complexes located in the Central Appalachian coal basin in eastern Kentucky.

“The financing led by GB Credit Partners provides us with capital to execute our growth plan and fund new initiatives for the JW Resources platform,” said Brett Craig of Bayside Capital. “GB Credit Partners’ in-house resources made them the logical partner for us.”

GB Credit Partners relied on the internal expertise of Gordon Brothers Group’s Commercial & Industrial Division to perform due diligence on JW Resources’ assets, including mining machinery & equipment.

“JW Resources has a strong management team and a well-positioned asset base to service its utility and industrial customer base” said Lawrence Klaff, managing director of GB Credit Partners. “We were impressed with JW Resources’ low-cost, well-run operations and are pleased to support its future growth plans.”

While GB Credit Partners has previously executed transactions in the energy industry, this transaction broadens its expertise in that market, marking its first entry into the coal mining sector. GB Credit Partners has extended financing to firms in over 25 industries including consumer products, food & beverage, manufacturing, retail and textiles.

Knoxville, TN-headquartered JW Resources is focused on identifying, acquiring and operating thermal and metallurgical coal mining and related assets in the United States.