CapitalSource, a division of Pacific Western Bank, and a national middle-market lender in the technology sector, announced its role as the sole lender in a recent deal with private equity firm TA Associates. CapitalSource provided funding for Plusgrade, a leading provider of revenue solutions to the travel industry. Financial terms of the transaction were not disclosed.
“CapitalSource has substantial experience in SaaS, and as a result were able to adapt their knowledge for our emerging sector which made the entire financing process seamless. The time they were willing to spend to learn about our unique business model demonstrated a level of client service and support far beyond our expectations,” said Ken Harris, Founder and CEO, Plusgrade.
Plusgrade helps airlines manage and optimize revenue generated from seat upgrades and other premium services. Through the company’s proprietary software-as-a-service platform, airlines are able to capture incremental, high margin revenue from unsold inventory and enhance the passenger travel experience. Plusgrade’s products are fully white labeled and integrated into existing airline reservation systems. The company serves more than 35 premier airlines globally and has established its market-leading position by focusing on customer service and innovation. Plusgrade has offices in Montreal, Canada and New York.
“We are excited to support Ken Harris and the leadership team at Plusgrade as the business continues its significant growth,” said Erik Bissonnette, director in CapitalSource’s Leveraged Finance group. “The company’s impressive product set and strong value proposition has established the business as a clear category leader. We look forward to supporting Plusgrade as it continues to innovate and drive high value incremental revenue for both existing partners and new customers.”