Audax Private Debt and Adams Street Partners acted as joint lead arrangers on a unitranche credit facility to support private equity firm Freeman Spogli’s acquisition of US Med-Equip, a distributor and rental provider of movable medical equipment.
Varagon Capital Partners and Madison Capital Funding acted as joint syndication agents and Willow Tree Credit Partners also supported the financing. Audax Private Debt served as administrative and collateral agent.
Headquartered in Houston, US Med-Equip partners with hospitals across the United States in the rental, sale, service and asset management of movable medical equipment.
“USME has established itself as a proven leader in the medical equipment rental market, having shown consistent growth since its founding,” Rahman Vahabzadeh, managing director at Audax Private Debt, said. “The company’s critical services are in higher demand than ever, and we are excited to continue working with management and Freeman Spogli to help support their key growth initiatives.”
“USME has demonstrated impressive growth and resiliency through several economic environments since its inception,” Shahab Rashid, partner and co-founder of Adams Street’s private credit team, said. “We are excited to partner with Freeman Spogli and support the company as it enters its next phase of ownership.”
“Our lender syndicate was able to structure a financing package that allows USME to continue its growth trajectory and expand into new geographies and ancillary product lines,” John Hwang, partner at Freeman Spogli, said. “The entire group, led by the Audax Private Debt and Adams Street teams, operated in a creative and collaborative way to support the capital needs of the company, and we are confident in their ability to scale and support our growth objectives as our partners in this investment.”
