Equity Firm Exits GreatAmerica Leasing Investment
Pamlico Capital portfolio company, GreatAmerica Leasing, has completed a $95.0 million recapitalization transaction supporting a tender offer and the purchase of securities primarily from certain existing minority investors, including Pamlico Capital.
The transaction completes a successful eight-year partnership between GreatAmerica and Pamlico Capital that began in May 2004, when Pamlico Capital invested in a recapitalization transaction as the company’s first institutional investor.
Since the original investment, the company has expanded its annual lease origination volume by nearly 200% and earnings by nearly 400%, added several key members of its management team, broadened and refined its industry group focus, and introduced a variety of customized service offerings to enhance the strong relationship the company maintains with its national dealer network.
“We chose to partner with Pamlico Capital because of their experience helping businesses like ours during periods of significant growth, their ability to structure a flexible capital solution, and the cultural fit with the Pamlico team,” said Tony Golobic, GreatAmerica chairman and CEO. “Over the years, Pamlico has proven to be a wonderful partner; always helpful and resourceful. They have earned my personal respect and friendship. GreatAmerica continues to be poised for success going forward, and we would like to thank Pamlico Capital for their invaluable strategic advice and counsel over the past eight years.”
Pamlico principal Stuart Christhilf said, “GreatAmerica was an outstanding investment for Pamlico and our limited partners. Over the course of the investment, Tony Golobic and the management team significantly outpaced the industry in terms of top line origination growth, credit underwriting results, and profitability, clearly cementing their position as the leading independent leasing company in the U.S. Their focus on integrity, superior customer service, disciplined underwriting standards, and innovative new service offerings enabled the company not only to manage through the most recent challenging economic times, but actually to increase market share and to emerge even stronger. We are excited for their next chapter and wish them continued success.”
Charlotte, NC-based Pamlico Capital is a private equity firm founded in 1988 that invests in growing middle market companies in the U.S. Pamlico Capital seeks control-oriented growth equity and buyout investments of up to $75 million alongside proven management teams in its target industries, business & technology services, communications, and healthcare.