CHATTANOOGA, Tenn. (August 30, 2012) - FourBridges Capital Advisors today announced the successful placement of a $25,000,000 senior credit facility for Greenscapes Home and Garden Products, Inc.
Based in Calhoun, Ga., Greenscapes designs and sells innovative home and outdoor products, including landscape fabric, edging, frost protection, rubber mulch, bug zappers and stone care cleaners. The company also has licensed certain items to sell under the Scotts and Black Flag brand names. Greenscapes markets to Lowe’s, Home Depot, Wal-Mart and other big-box retailers.
“We were aware of opportunities in the market, but to take advantage of them, we needed additional financing,” said Sage Ralston, President and founder of Greenscapes. “The traditional commercial banks we initially considered simply didn’t fit us. FourBridges identified a partner that we previously were unaware of but provided exactly what we needed, and the result was a win-win.”
Greenscapes engaged FourBridges in May 2011 to conduct a “Bridge to Capital” analysis. As part of the service, FourBridges created a detailed monthly financial forecast; identified the capital required to fund the company’s business plan; researched potential capital sources; and performed a market-based valuation.
It was Ralston’s objective to finance the company through debt as opposed to equity. After surveying the market, FourBridges recommended that Greenscapes obtain an extension from its current lender and seek additional financing in the next six months. The process was restarted in late spring 2012, with the goal of selecting a new senior lender and an increased line of credit. FourBridges updated the company’s financials and memorandum, and they received interest from several parties.
One of these was Cole Taylor Business Capital, the asset-based lending division of Chicago-based Cole Taylor Bank. Cole Taylor offered a creative solution that fit the financing needs of Greenscapes, and it was ultimately selected as the lender.
“We were impressed with Greenscapes’ management team and the company’s strong growth potential,” said Mike Sharkey, President of Cole Taylor Business Capital. “Cole Taylor is pleased to support their expansion within the home and garden industry, and we look forward to a long and successful relationship.”
Chris Rowe, Managing Director of FourBridges, said that taking advantage of the firm’s Bridge products – which also include the Bridge to Value and Bridge to Acquisition – can help business owners make informed decisions.
“Beginning the process with a Bridge analysis allowed us to identify Greenscapes’ growth opportunities and determine how to best achieve the company’s corporate objectives,” Rowe said. “We really enjoyed working with Sage and his team at Greenscapes, and we were happy to connect them with a strong partner.”
About Greenscapes Home and Garden Products, Inc.
Greenscapes is a manufacturer of home and garden product lines, which are marketed to large-scale retailers. Sold under the Greenscapes, Scotts and Black Flag names, the company’s products include landscape fabric, edging, frost protection, rubber mulch, bug zappers and stone care cleaners. Greenscapes was established in 2000 and is headquartered in Calhoun, Georgia, with a warehouse in Phoenix, Arizona.
About Cole Taylor Business
Capital Cole Taylor Business Capital is the asset-based lending division of Cole Taylor Bank, one of the largest banks in Chicago and a subsidiary of Taylor Capital Group, Inc. With $4.56 billion in assets, $2.9 billion in deposits, 600 employees and nine banking centers, Cole Taylor Bank has been meeting the banking needs of Chicago-area clients for more than 80 years and now serves businesses across the country.
About FourBridges Capital Advisors
FourBridges Capital is a middle market investment banking firm based in Chattanooga, Tennessee, that represents business owners in buying companies, selling companies and accessing capital for growth. The senior professionals at FourBridges have been corporate C-level executives (CEO or CFO), and they leverage their extensive capital markets experience to achieve superior results for their clients.
For more information about this transaction, please contact Andy Stockett at (423)266-6979 or Chris Rowe at (423)266-4630.
FourBridges Capital Advisors is a middle market investment bank providing sell-side, buy-side, capital raising,restructuring, and strategic advisory services primarily to closely-held and family-owned businesses. FourBridges is based in Chattanooga, Tennessee, and serves clients in cities across the Southeast, including Atlanta, Nashville, Birmingham, Memphis, Knoxville and Huntsville.