Daily News: January 7, 2013

Enhanced Capital Provides $4MM Facility to HomeTown Oxygen

Enhanced Small Business Investment Company (ESBIC), an affiliate of Enhanced Capital Partners, recently provided $4 million in senior secured debt financing to HomeTown Oxygen. This transaction was one of four investments closed by ESBIC in the Q4/12.

HomeTown Oxygen, a provider of home-based respiratory products and services, will use the proceeds to fund growth as the company continues its expansion within the medical equipment industry. HomeTown provides ventilators, nebulizers, oxygen concentrators, liquid oxygen systems, continuous positive airway pressure machines, and other durable medical equipment through five locations in the Charlotte and Winston-Salem metropolitan regions.

“HomeTown Oxygen’s leadership team has built an outstanding company that offers best in class services and products,” said Barry Osherow, managing director at Enhanced Capital. “This transaction marks the next phase of growth for the company and gives us an exciting opportunity to finance their expansion plans and increase their market share.”

“This financing will allow HomeTown Oxygen to continue the growth of its respiratory business and expand into new locations,” said Scott Dinning, CEO of HomeTown Oxygen. “We’re excited to partner with Enhanced Capital and look forward to working with the Enhanced Capital team over the coming years.”

ESBIC is an SBIC fund set up for the purpose of providing debt and minority equity financing to U.S.-based lower middle-market companies.