SOURCE: Imperial Capital

Imperial Capital

May 12, 2011 04:30 ET

Imperial Capital Acts as Sole Book Runner for $115 Million of Senior Secured Notes for Harmony Foods Corporation (d/b/a Santa Cruz Nutritionals)

LOS ANGELES, CA--(Marketwire - May 12, 2011) - Imperial Capital announced the successful completion of a $115 million 10% Senior Secured Notes offering (the "Notes") for Harmony Foods Corporation d/b/a Santa Cruz Nutritional ("SCN" or "the Company"), a portfolio company of Levine Leichtman Capital Partners IV, L.P. SCN is the leading formulator and manufacturer of gummy-based nutraceuticals in the United States, providing a wide range of gummy products in key nutritional categories, including children's nutraceuticals, adult nutraceuticals, sports nutrition, organic and fruit snacks. The Company will use the net proceeds from the offering to refinance existing indebtedness, fund a distribution to the equity holders and pay related fees and expenses. Imperial Capital acted as sole book runner on the transaction.

Imperial Capital's leveraged finance expertise and deep sector knowledge helped generate substantial investor demand in the offering. "Imperial Capital was instrumental to the success of the financing, including helping the Company craft its marketing story and understanding our future needs in structuring the Notes. The Company was very pleased with the outcome of the transaction and we look forward to the financial flexibility the Notes will provide us," said Michael Westhusing, Chief Executive officer of Santa Cruz Nutritionals.

Jason Reese, Chairman and Chief Executive Officer of Imperial Capital, added, "This transaction demonstrates Imperial Capital's ability to provide high yield financing for our middle market clients as well as our continued success and activity in the health and wellness industry."

The Notes have not been registered under the Securities Act of 1933 (the "Act") or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption therefrom. The Notes were offered only to qualified institutional buyers in reliance Rule 144A under the Act and to certain non-US persons outside the United States in reliance on Regulation S under the Act.

About Imperial Capital, LLC

Imperial Capital, founded in 1997, is a full-service investment banking firm with offices in Los Angeles, New York, San Francisco, Minneapolis, Boston, Chicago and Houston. The firm currently employs over 180 professionals and offers a wide range of proprietary products and services to institutional investors, middle market companies and private equity firms. Imperial Capital provides institutional clients research and sales and trading of high yield and distressed debt securities, bank debt, convertible bonds, preferred stocks, and equities. The firm provides middle market companies and financial sponsors with capital markets, merger and acquisitions, capital structure, restructuring and recapitalization advisory services. More information about Imperial Capital can be found at www.imperialcapital.com.

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