Second Avenue Capital Partners (SACP), a Schottenstein affiliate, closed a $175 million senior secured revolving line of credit for Gabe’s, an off-price retailer operating in the mid-Atlantic and Southeast United States. The new credit facility, which was provided by SACP and Ares Management funds, will be used to support Gabe’s ongoing growth initiatives, enhance operational flexibility, and strengthen the company’s capital structure.
“Gabe’s has built a strong position in the off-price retail market, and we are thrilled to partner with them at this exciting stage of their growth,” Andrew Prunier, managing director of SACP, said. “This credit facility will provide the company with the financial resources and the liquidity they need to capitalize on new opportunities and maintain their competitive advantage in a dynamic retail landscape.”
“There are few lenders that have the deep retail knowledge and merchant perspective of SACP, and even fewer that can be genuine, productive partners for a business like ours,” Jason Mazzola, president and CEO of Gabe’s, said. “Our long-term relationship with SACP and SB360, and our ability to work side-by-side with them are core to the structure of this transaction. We appreciate their ongoing support and look forward to the many opportunities it will provide us.”
“This financing package represents the culmination of our long-term relationship with Gabe’s,” Aaron Miller, president of SB360 Capital Partners, the parent company of SACP, said. “Our team members have played roles in previous financing transactions for both Gabe’s and Old Time Pottery (OTP). Before its acquisition by Gabe’s, OTP was part of SACP’s loan portfolio. In addition, SB360 has provided advisory services, offering strategic consultation and support to Gabe’s and OTP.”
Marc Price, executive vice president of SB360, has an enduring relationship with Warburg Pincus.
“Marc’s relationship with Warburg connected all the dots in aligning our partnership with Gabe’s leadership team and the operating business,” Miller said. “We’re excited to continue strengthening our collaboration with all parties involved.”
