FRP Corporate Finance’s Debt Advisory team has secured an asset-based lending package to support private equity firm Rcapital’s acquisition of aerospace parts distributor Adams Aviation Supply Company.
Led by Stuart Bates, debt advisory partner at FRP, the team engaged with lenders and negotiated a funding structure designed to meet Rcapital’s requirements. The financing will also provide Adams Aviation with a post-acquisition working capital platform to support its strategy and growth plans, which are short to medium term.
Founded in 1968, Adams Aviation is a distributor of parts and accessories for a global customer base including airlines, aircraft operators, maintenance companies, armed forces and aircraft manufacturers.
The company’s existing management team will remain in place following the acquisition, working with Rcapital to support the business’s continued growth.
Rcapital, which was established in 2004, specialises in carve-out and special situations investments and has invested in more than 100 UK mid-market companies.
Stuart Bates, debt advisory partner at FRP Corporate Finance, said: “Access to the right capital is crucial to that success. It was therefore important that the final structure of this facility gave Rcapital the flexibility to work closely with the Adams Aviation management team and pursue the right strategy for the business’ growth.
“This asset-based lending package provides a strong foundation for the beginning of this new partnership, and I look forward to seeing how it continues to develop in the coming years.”
Sam Duberley, investment director at Rcapital, added: “Adams Aviation has built a strong reputation over the years of being one of Europe’s leading aviation parts distributors. The strength of its management team is clear and that’s why we’re excited to start working with them to take the business into the next phase of its growth.
“I’m grateful for the support from Stuart and the team at FRP Corporate Finance in helping us to finance this transaction. Their advice was invaluable and they’ve been able to negotiate a funding facility that supports the beginning of our partnership with Adams Aviation.”
