Completes fifth transaction with Calvert Street Capital Partners
Livingstone’s Debt Advisory team has arranged a new expanded credit facility for Premium Inspection & Testing Inc., a portfolio company of Calvert Street Capital Partners. First Midwest Bank and Patriot Capital provided the financing to support Premium’s recapitalisation of Capitol Ultrasonics LLC.
Premium Inspection is a non-destructive testing and inspection services business operating primarily in the midstream oil and gas and diversified industrials sectors. Capitol Ultrasonics is a locally owned and operated non-destructive examination company based in Baton Rouge, Louisiana, which focuses on the downstream oil and gas sector. The combination of the two companies will further Calvert Street’s initiative to build a world-class testing and inspection business serving diverse end-markets.
“Once again, Livingstone’s team produced an excellent outcome for Premium Inspection,” commented Calvert Street principal Matt McLain. “By securing a lending group that understands Premium’s attractive position within in the broader energy space, we were able to put in place a combined financing structure that expands Premium Inspection’s presence into the refining and petrochemical markets.”
Tom Lesch, Livingstone Chicago’s Debt Advisory partner, elaborated on the complexity of sourcing debt capital in today’s oil and gas market. “Given the headwinds affecting much of the sector, lenders have pulled back significantly in this space. By reaching out to the appropriate lender groups and effectively articulating our clients’ market position and growth opportunities, we have been able to produce successful outcomes for clients across the middle market.”
This marks Livingstone’s fifth successful transaction for Calvert Street and the firm’s second acquisition financing raised specifically for Premium Inspection & Testing Inc. The firm’s Debt Advisory team announced a first round of acquisition financing for Premium Inspection in May while Livingstone’s Industrial sector team advised on the sale of precision grinding manufacturer Abrasive Form to Calvert Street in October of 2015.