North Mill Capital LLC, a leading provider of asset-based loans for small and medium-sized businesses in the Northeast, has acquired PrinSource Capital Companies LLC, a regional provider of working capital financing solutions and asset-based loans in the Midwest. This transaction will significantly expand North Mill’s geographic markets and enhance the combined company’s product capabilities. Combined, North Mill and PrinSource will provide asset-based loans and factoring solutions for borrowers seeking financing ranging from $200,000 to $10 million.
Headquartered in Minneapolis with an office in Milwaukee, PrinSource has been a leading factoring and asset-based lending company for over 15 years for small to medium-sized businesses in the Minnesota, Wisconsin and Illinois markets. PrinSource creates specialized working capital products to allow companies to leverage the value of their assets to meet their financial needs and is a respected leader in the business finance community known for intelligent, creative credit decisions, and dedication to customer service.
Similar to North Mill, PrinSource provides financing for companies in a variety of industries including staffing, trucking, manufacturing, wholesale distribution, and other service businesses. North Mill plans to maintain the PrinSource staff and offices in Minneapolis and Milwaukee with plans to grow its product offerings and to expand its geographic footprint in the Midwest.
To finance its acquisition, North Mill received additional equity investment from its current shareholders, led by Monitor Clipper Partners, and a material increase in its debt credit facility led by IDB Bank of New York supported by a syndicate of five participating banks. The additional capital will allow North Mill and PrinSource to more effectively serve its core customers with the ability to better meet client’s needs throughout their life cycle and for the Midwest market, increase the size of credit facilities offered.
Milestone Advisors, LLC served as exclusive financial advisor to Prinsource in connection with the transaction.
Hughes Hubbard & Reed LLP acted as legal counsel to North Mill Capital, Monitor Clipper Partners and ALDA Capital in connection with the transaction.
About North Mill Capital
North Mill Capital is a leading commercial finance company located in Princeton, New Jersey that provides asset-based loans to businesses with borrowing needs from $200,000 to $10 million. North Mill finances service companies, manufacturers and wholesale distributors through the United States. Management is comprised of industry veterans with vast experience in asset based lending and factoring. Prior to launching North Mill, its management founded Business Alliance Capital Corporation in 1995 which was later sold to Sovereign Bank in 2005.
About Monitor Clipper
Monitor Clipper Partners is a Cambridge, Massachusetts based independent private equity firm formed in 1998. MCP has invested in more than 35 businesses in North America and Western Europe over the past decade and has a close strategic relationship with the Monitor Group, a leading international strategy consulting firm. MCP targets growth-oriented businesses with strong management teams and currently manages over US$2.0 billion in capital. For more information, visit www.monitorclipper.com.