SOURCE: Cratos Capital Partners

September 12, 2007 08:00 ET

Cratos Capital Partners and Ableco Finance Provide $95 Million in Financing for Business Acquisition

ATLANTA, GA--(Marketwire - September 12, 2007) - Cratos Capital Partners, LLC and Ableco Finance, LLC announced today that they have arranged a $95 million senior credit facility for Spheris, Inc. ("Spheris") -- a portfolio company of Warburg Pincus, LLC and TowerBrook Partners, L.P. Cratos served as the Administrative Agent while Ableco served as the Documentation Agent.

The $95 million senior secured credit facilities consist of a $25 million revolving line of credit and a $70 million term loan. Proceeds under the facilities were used to refinance existing senior debt and for ongoing working capital needs.

"Cratos Capital and Ableco structured a credit facility that was both flexible and accommodating and that remained very consistent throughout the underwriting and closing process," said Brian Callahan, Chief Financial Officer of Spheris. "Further, we believe we have partnered with two lenders that will be supportive of the growth initiatives of Spheris."

About Spheris

Spheris is a leading global outsource provider of clinical documentation technology and services to more than 500 health systems, hospitals and group practices throughout the United States. Spheris offers a highly advanced, Web-based technology platform, available as an independent solution to support in-house departments or blended with Spheris' outsource services. Spheris employs approximately 5,500 skilled medical language specialists supporting the company's clients through a secure network. Using a Follow the Sun(SM) service strategy, customer support is provided 24 hours a day, 365 days a year with an emphasis on verifiable quality, turnaround time and pricing. Spheris' corporate headquarters are located in Franklin, TN. For more information, please visit www.spheris.com.

About Cratos Capital Partners, LLC

Cratos Capital was established in May 2006 as a commercial finance company that provides tailored senior and junior debt solutions to middle market companies on a national basis. The company provides cash flow, asset-based and enterprise value loans to mid-sized companies, with commitments ranging from $10 million to $100 million and greater. To date, Cratos Capital has funded 62 transactions representing $848 million in commitments. Cratos Capital is financed by an affiliate of Deutsche Bank and Flat Hat Holdings, LLC and is headquartered in Alpharetta, GA, with satellite offices in Charlotte, NC and Chicago, IL. For more information, please visit www.cratoscapital.com.

About Ableco Finance, LLC

Ableco Finance is a specialty finance company, formed by the management of Cerberus Capital Management, L.P., that invests in leveraged buyouts and leveraged "roll-ups," bridge loans, recapitalizations, refinancing, debt restructurings, acquisitions and Chapter 11 reorganizations, including debtor-in-possession and exit financing. Established in 1992, Cerberus is one of the world's leading private investment firms with approximately $25 billion under management in funds and accounts. Through its team of more than 275 investment and operations professionals, Cerberus specializes in providing both financial resources and operational expertise to help transform undervalued companies into industry leaders for long-term success and value creation. Cerberus is headquartered in New York City, NY with affiliate and/or advisory offices in Chicago, Los Angeles, Atlanta, London, Baarn, Frankfurt, Hong Kong, Tokyo, Osaka and Taipei. More information on Cerberus can be found at www.cerberuscapital.com.

Contact Information

  • For more information, please contact:
    Craig Kitchin
    Chief Financial Officer
    Cratos Capital Partners, LLC
    (678) 392-3150
    Email Contact