Caltius Mezzanine Exits Investments in Universal Services of America, Integrated Healthcare Strategies, and Pacific Crest Securities

August 31, 2015

Caltius Mezzanine is pleased to announce the successful realization of three portfolio companies during the past year. Caltius Mezzanine provides junior capital solutions in amounts of $7 to $50 million to middle market companies in a broad range of industries throughout North America. Since its founding in 1997, Caltius Mezzanine has invested over $1.0 billion to support acquisitions, recapitalizations, buyouts, and organic growth. We are currently investing out of our fifth mezzanine fund and are actively seeking new investment opportunities.

Universal Services of America: Universal Services of America (“USA”), headquartered in Santa Ana, CA, is a leading provider of security and janitorial services in the United States. Caltius initially invested in USA in 2009 and grew its investment size to $100 million by 2013 which helped finance USA’s strong growth. In July-13, Partners Group acquired a controlling interest in USA, fully redeeming Caltius’ debt, with Caltius rolling a portion of its equity proceeds into the transaction. USA has continued its strong performance and, during July-15, was acquired by Warburg Pincus, resulting in the full realization of Caltius’ investment.

Integrated Healthcare Services: Integrated Healthcare Strategies, headquartered in Kansas City, is a healthcare management consulting firm with an expertise in compensation, benefits, and human resources. Caltius invested $8.0 million in 2010 which helped finance the management buyout of the company. The company continued its consistent growth during Caltius’ investment and, in May-15, was acquired by Arthur J. Gallagher & Co., resulting in a full realization for Caltius.

Pacific Crest Securities: Pacific Crest is a leading technology focused investment bank headquartered in Portland, Oregon. Caltius’ $18.3 million investment in 2008 helped finance a staged shareholder dividend and equity buyback transaction. The company performed well during Caltius’ investment and, in Sept-14, Pacific Crest was acquired by Key Bank resulting in a full realization for Caltius.

For more information or to refer an investment opportunity, please call us at (310) 996-9585.