GB Credit Provides Silver Airways Facility
Victory Park Capital (VPC) announced that portfolio company Silver Airways secured a credit facility from GB Credit Partners, the investment management affiliate of Gordon Brothers Group and Crystal Financial.
The new credit facility will provide a partial liquidity event for VPC, following its launch of the new company in May 2011, and will also bring several benefits to Silver Airways. Specifically, the financing provides Silver Airways with up to $73 million in capital via a revolving line of credit, a delayed draw term loan reserved exclusively for additional fleet growth, and another term loan that will be used to lower its overall blended cost of capital. Following the transaction, VPC will maintain full ownership of the company and will continue to control the company’s board of directors.
“Silver Airways has demonstrated strong and steady growth since we launched the Company in 2011,” said Matthew Ray, VPC partner and chairman of Silver’s Board of Directors. “This recapitalization is further validation of Silver’s business plan, its operating platform, and its value proposition. 2013 was a particularly notable year for the airline, with highlights including: the appointment of a new CEO, recognition as Air Transport World’s ‘2013 Regional Airline of the Year,’ ‘Top 10 US Airline’ in Condé Nast Traveler’s 26th Annual Readers’ Choice Awards, a renewed partnership with United Airlines and a new interline agreement with JetBlue. I am confident that these accomplishments, coupled with new credit facilities, will ensure that Silver is well-capitalized and able to continue its rapid growth and achievement of excellence within the industry.”
Silver Airways is a U.S.-owned and operated airline operating almost 200 daily scheduled flights to/from 46 gateways in Florida, the Bahamas, Georgia, Alabama, Mississippi, Virginia, West Virginia, Pennsylvania, New York and Ohio.