Unitranche loan finances Genstar’s acquisition of leading pharmaceutical co-pay assistance marketer
PHILADELPHIA, Jan. 29, 2016 /PRNewswire/
Franklin Square Capital Partners, the largest manager of business development companies (BDCs), announced the origination of a unitranche term loan to PSKW, LLC (PSKW), a leading developer and marketer of co-pay assistance (CPA) programs for pharmaceutical drugs. The financing supported the acquisition of PSKW by Genstar Capital (Genstar), a San Francisco, CA-based private equity investment firm focused on actively investing in high-quality companies for more than 20 years. In addition, the financing also supported PSKW’s add-on acquisition of PDR Network, LLC, a provider of behavior-based prescription management programs.
The financing was provided by FS Investment Corporation (NYSE: FSIC), FS Investment Corporation II (FSIC II) and FS Investment Corporation III (FSIC III), BDCs managed by affiliates of Franklin Square and sub-advised by GSO / Blackstone Debt Funds Management LLC (GDFM), an affiliate of GSO Capital Partners LP (GSO).
“Our strong relationship with Genstar and the size of our direct-lending platform help ensure that we have a strong capital base to draw upon to meet the financing needs for growing companies like PSKW when opportunities arise,” said Michael C. Forman, Chairman and Chief Executive Officer of FSIC, FSIC II and FSIC III.
“PSKW is a top player in the industry by a variety of metrics,” commented Brad Marshall, Senior Managing Director and Senior Portfolio Manager at GDFM. “With its extensive operating footprint, new technologies and a history of successful growth, we believe PSKW is poised for continued success.”
“The financial backing from Franklin Square and GSO and continued support of Genstar position us to further penetrate the expanding CPA industry,” said Steve Freeman, President of PSKW.
Specific terms of the financing were not disclosed.
About Franklin Square
Franklin Square is a leading manager of alternative investment funds designed to enhance investors’ portfolios by providing access to asset classes, strategies and asset managers that typically have been available to only the largest institutional investors. The firm’s funds offer “endowment-style” investment strategies that help construct diversified portfolios and manage risk. Franklin Square strives not only to maximize investment returns but also to set the industry standard for best practices by focusing on transparency, investor protection and education for investment professionals and their clients.
Founded in Philadelphia in 2007, Franklin Square quickly established itself as a leader in the world of alternative investments by introducing innovative credit-based income funds, including the industry’s first non-traded BDC. As of September 30, 2015, the firm managed approximately $17.0 billion in total assets, including $15.7 billion in BDC assets, making it the largest manager of BDCs. For more information, please visit www.franklinsquare.com.
Franklin Square Media Team
Senior Vice President,
Investor Relations & Capital Markets
About Blackstone and GSO
Blackstone is one of the world’s leading investment firms. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our asset management businesses, with over $330 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter@Blackstone.
GSO Capital Partners LP is the global credit investment platform of Blackstone. With approximately $81 billion of assets under management, GSO is one of the largest alternative managers in the world focused on the leveraged-finance, or non-investment grade related, marketplace. GSO seeks to generate attractive risk-adjusted returns in its business by investing in a broad array of strategies including mezzanine debt, distressed investing, leveraged loans and other special-situation strategies. Its funds are major providers of credit for small and middle-market companies and they also advance rescue financing to help distressed companies.
Forward-Looking Statements and Important Disclosures
This press release may contain certain forward-looking statements, including statements with regard to the future performance or operations of FSIC, FSIC II, FSIC III or PSKW. Words such as “believes,” “expects,” “projects” and “future” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those projected in these forward-looking statements, and some of these factors are enumerated in the filings FSIC, FSIC II and FSIC III make with the U.S. Securities and Exchange Commission. FSIC, FSIC II and FSIC III undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Individual investors and endowments may have different investment horizons, liquidity needs and risk tolerances. In addition, fees that may be incurred by an investor in a fund sponsored by Franklin Square may be different than fees incurred by an endowment investing in similar assets as those in which the funds invest.
SOURCE Franklin Square Capital Partners