Capstone Headwaters advises Align Capital Partners on its acquisition financing for Electronic Transaction Consultants Corporation

Capstone Headwaters is pleased to announce the closing of a senior secured credit facility for Electronic Transaction Consultants Corporation (“ETC”), the proceeds of which funded a portion of Align Capital Partners’ (“Align”) acquisition of the Company.  The financing was led by Capital Southwest.

Based in Richardson, TX, ETC is a market-leading software and services provider of electronic tolling technology and smart mobility solutions. They serve electronic tolling agencies by providing back office and roadside services through its next-generation, modular software platform.  Their proprietary software utilizes artificial intelligence (“AI”) technology and big data to meet unique tolling and transportation needs at a lower cost to the customer. ETC offers a comprehensive suite of integrated software and service solutions that enable the processing of millions of daily toll transactions on the nation’s busiest toll roads.

Align Capital Partners is a Dallas-based private equity firm with $775 million in committed capital.  In February 2020, Align closed its second private equity investment fund at the offering’s hard cap of $450 million and ETC is an investment of this recently raised fund.  Capstone Headwaters, a leading middle market investment banking firm, worked closely with Align and ETC on all aspects of the financing, helping to structure, arrange, and negotiate the credit facility.

Matt lodice, Vice President at Align, commented 

“This was the first time we’ve hired an advisor to arrange financing on our behalf, but felt it was necessary given the unique market environment and ACP’s need to move quickly. Capstone ran a comprehensive offering process, did exactly what was promised, and played an instrumental role in getting this transaction over the finish line.”

Brian Schofield, Managing Director with Capstone Headwaters’ Debt Advisory Group said 

“When we launched the transaction in mid-May, the debt capital markets were in disarray; however, ETC’s compelling fundamentals, combined with Align’s top-tier reputation, allowed us to tell a credit story that resonated with the lender community. It was a pleasure to work with Matt and the rest of the Align team and we look forward to continuing the relationship in the months and years ahead.”

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