Capstone Partners advised Staffing 360 Solutions, Inc. (OTCQB: STAF), a leading international publicly-held staffing organization, on a $40 million senior secured note financing, the proceeds of which were used to recapitalize the company’s balance sheet, fund a portion of two acquisitions, and support working capital.
These developments are a game-changer for our company, vaulting us much closer to our goal of becoming a $300 million annualized revenue business. We believe this refinancing of our balance sheet and simultaneous closing of two acquisitions will help us unlock significant value, especially as we leverage our projected positive operating cash flow from these transactions to drive additional organic and acquisitive growth.
Staffing 360 Solutions is executing an international buy-and-build strategy through the acquisition of staffing organizations in the United States and in the United Kingdom and pursuing acquisition targets in the finance and accounting, administrative, engineering and IT industries.
In line with management’s emphasis on improving the financial health of the company and reinvigorating its highly focused M&A program, Capstone helped negotiate a $40 million senior note with a three-year term and a bullet maturity.