Gibraltar Business Capital (GBC) has finalized a $35 million senior secured facility for American Furniture Manufacturing (AFM) in support of the company’s acquisition by SouthWorth Capital Management (SCM).
The new funding comes as AFM and its divisions (Peak Living, Independent Furniture Supply, Delta Furniture, Southern Fibers and Alpha Logistics) are added to the SCM portfolio of companies. The new facility will support investment and technology upgrades to streamline supply chain capabilities and operations across the AFM umbrella, as well as aid integrations with other SCM companies to achieve efficiency gains.
“Part of AFM’s value proposition is our vertical integration, with each division working together as part of a single, cohesive supply chain,” Matt Clayton, COO of AFM, said. “Now, as we become part of SCM, the potential efficiency gains from integration are magnified. The GBC team immediately understood the opportunity that gives, and the complexity it brings, largely because of their previous M&A experience.”
Jeff Presley, founder and principal of SouthWorth Capital Management, added, “SCM is consistently engaged in M&A activity, and as a family office with deep financial services experience, we are very deliberate about our capital partners. The GBC team was well prepared from the start, quickly understood the deal dynamics, and had the flexibility needed to support us throughout the acquisition and beyond.”
That partnership-driven lending approach enables GBC to deliver custom facilities designed to support both immediate deal-based financing needs and long-term growth capital requirements.
“Gibraltar’s team has supported countless M&A transactions over the years, building a depth of experience that’s hard to replicate,” Scott Winicour, CEO of GBC, said. “I’m proud that my team’s expertise in M&A is reflected in our approach, our execution, and the outcomes we help our clients achieve.”
