Daily News: September 10, 2013

Babson Provides Mezz Financing, Equity for Fort Point Investment

Babson Capital Management, a global investment management firm, announced it provided subordinated debt and made an equity co-investment to support Fort Point Capital’s investment in Engineering Planning and Management (EPM).

Babson Capital was the sole provider of subordinated debt on the transaction. Fort Point Capital made the investment in EPM in partnership with company founder Wade Larson and EPM’s management team led by CEO Robert Kalantari.

EPM, founded in 1980 and based in Framingham, MA, is a provider of engineering consulting, probabilistic risk assessment, fire protection services and specialized, unique software to the nuclear power industry and other commercial customers. The company’s products and services address the safety challenges faced by nuclear power generation facilities on a global basis through mission-critical software and professional engineering services. The company’s engineers rely on EPM’s proprietary software solution combined with an extraordinarily detailed amount of facility information to assess, plan, and implement solutions for improvement and/or regulatory compliance.

“Babson Capital has been a valued partner to Fort Point’s principals on investments for well over a decade, and we were delighted to work with the Babson Capital team on the investment in EPM, ” said Fort Point Capital partner Brooke Ablon. “With its deep experience in middle-market finance, its responsiveness and its relationship-oriented approach, Babson Capital was a great partner for Fort Point on this transaction.”

“EPM has built a strong leadership position in the U.S. market over the past three decades and is well positioned to leverage international growth opportunities with its breadth of regulatory expertise, expertise in nuclear fire safety and the quality of its engineering staff and software,” said Mike Klofas, managing director and head of the Mezzanine & Private Equity Group for Babson Capital. “Babson Capital is proud to partner with Fort Point on its investment in EPM and we look forward to working with Brooke and his team on future investments soon.”

Fort Point Capital is a private equity firm that invests in lower middle-market service-oriented companies, in partnership with strong management teams.