Debt Strategies

Overview

A combination of tight credit and stringent lending criteria has created a large, underserved segment of the debt market that does not have access to capital from traditional lending sources. This has resulted in a decline in lending to businesses and entrepreneurs in the lower middle-market.

Over the five-year period from 2017 to 2021, approximately $435 billion of U.S. lower middle-market debt will mature, with much of it needing to be refinanced.¹ The combination of this “wall of maturity,” new financing that will be required by lower middle-market businesses, and many traditional lenders pulling out of the space have and will continue to create an environment in which lenders to lower middle-market companies have tremendous opportunity. Unlike traditional high-yield debt and syndicated loans, which tend to be highly standardized with little room for negotiation, lower middle-market lenders can structure loans tailored to the needs of individual companies.¹ GPB Capital targets this underserved market by making secured loans to small and medium-sized businesses primarily located in North America.

Recent Press Releases

GPB Capital Finalizes $31M Debt Investment in Kinestral Technologies

GPB Capital Enters into $21 Million Debt Investment in CardioFocus

Business Focus

GPB Capital will primarily focus on providing short to medium term loans, that typically have a 36-month duration, to companies with collateral in excess of the principal amount of the loan. Debt investments will generally range in size from $5 million to $50 million.

Ideal Target Company Characteristics

  • Publicly or Privately Held
  • Strong Asset Value
  • Proven Management Teams with a Verified Track Record
  • Verifiable Business Plan with Growth Prospects
  • Clear and Achievable Exit Strategy
  • Clear Downside Management Plan in Case of Default
  • Companies that are Seeking a Capital Partner to:
    • Increase commercial growth
    • Finance strategic acquisitions
    • Invest in R&D
    • Bring a new product to the market

Learn How Debt Investments Meet GPB Capital's Strategic Criteria.

Current Debt Investments

Companies listed below have outstanding debt investments from GPB or affiliates, or GPB has a majority equity position as of December 31, 2018.
It should not be assumed any investments identified were, are or will be profitable.

Exited Debt Investments

Matured Debt Positions