Brady Linen Services LLC and Atlantic City Linen Supply have merged to form the largest hospitality-focused laundry in the country, according to an online news report. The combined company will have the ability to process more than 1 one million lbs. of textiles per day in 12 facilities across six states, along both coasts and in the Bahamas. The company has a leading market position in each of its core markets, including Las Vegas, Atlantic City, Boston, Philadelphia and Connecticut.
The merger was financed jointly through GE Capital Markets and Ares Capital, who arranged a $92.6 million senior secured term loan and a $20 million delayed-draw term loan provided by the Senior Secured Loan Program or SSLP. The SSLP consists of members Ares Capital Corp. and GE Global Sponsor Finance LLC, and is co-managed by GE Commercial Finance Investment Advisory Services LLC and Ares Capital Management LLC. The financing also includes the associated recapitalization of the combined company, the release said.
Atlantic City Linen (AC Linen) is now a portfolio company of Alvarez & Marsal Capital (A&M Capital). A&M Capital acquired a controlling majority interest in Atlantic City Linen Supply, LLC. Founder David Goldberg rolled a meaningful stake into the newly capitalized company and will serve as Chairman Emeritus. He will provide consulting on business development and customer/union relationships. Daniel and Eric Goldberg rolled their entire equity stake into the new company. Both will continue their roles as co-CEOs, with representation on the company’s Board of Directors. Click here for more information.
A&M Capital was advised by Simpson Thacher & Barlett LLP. AC Linen was advised by Katten Muchin Rosenman LLP and Cooper Levenson, P.A.
by Louis Niedelman, Esq. This article follows up on a previously published article announcing a ruling of the New Jersey Supreme Court that reinstated the