Middlemarch Securities, the investment banking arm of Middlemarch Partners, LLC (“Middlemarch”) acted as the investment banking advisor to Channel Partners Capital (“Channel”), a leading provider of small business loans.
Middlemarch secured a significant equity investment from Funds advised by Elliott Management Corporation (“Elliott”), a private investment firm with approximately $35 billion in assets under management. Concurrent with the growth equity investment, Channel also refinanced its balance sheet with an expandable asset-backed facility led by CIBC Bank USA.
Middlemarch advised Channel on its growth strategy, capital needs and executing a complex transaction structure to achieve the goals of multiple stakeholders. Demetris Papademetriou of Middlemarch Partners stated, “After raising over $750 million dollars for a variety of alternative finance companies, we immediately recognized Channel’s strong management, unique customer acquisition strategy and superior performance metrics. Channel’s profile made a compelling investment candidate. With its investment from Elliott and CIBC, Channel is positioned to achieve its near-term goal of $300M in funded working capital loans.” This transaction further solidifies Middlemarch Partners’ role as the advisor of choice in the Alternative Lending sector.
Channel, a company providing working capital solutions for small to mid-sized companies through its proprietary network of over 400 equipment leasing partners will use the growth capital to scale its loan originations, operations, and technology platform; enabling more efficient financing for its clients.
Brad Peterson, CEO of Channel Partners Capital LLC., stated “This is a major milestone for Channel Partners Capital and we appreciate Middlemarch’s efforts to make it happen. They prepared us to meet many highly qualified investors and guided us through a complex transaction, culminating with finding the right partner to fuel our growth in Elliott Management.”