KPS Capital Partners announced that its portfolio company Expera Specialty Solutions has completed a successful recapitalization.
Expera said it raised $270 million of financing, including a $75 million cash flow revolving credit facility and a $195 million term loan. The proceeds of the recapitalization were used to refinance outstanding debt, to fund a $35 million cash distribution to stockholders and to support the company’s continued growth.
The company said financing for the recapitalization was provided by a syndicate of banks with Bank of America Merrill Lynch and GE Capital Markets acting as the co-lead arrangers and bookrunners on the $75 million cash flow revolving credit facility and the $195 million term loan.
Paul, Weiss, Rifkind, Wharton & Garrison served as legal counsel to Expera with respect to the recapitalization.
Following the recapitalization, Expera remains conservatively capitalized with the continued support of its controlling shareholder, KPS, a private equity firm with more than $6.1 billion of assets under management. KPS and Expera management continue to own 100% of Expera’s common stock following the recapitalization.
Expera is a manufacturer of specialty paper products for use in the tape, pressure-sensitive release liner, industrial and food packaging segments. Expera’s manufacturing platform includes machines at four mills located in Rhinelander, WI, Mosinee, WI, Kaukauna, WI and De Pere, WI.