Trimaran Capital Partners has tapped Banc of America Securities to lead an $85 million credit backing its $140 million acquisition of Charlie Brown's. B of A's leading market position and knowledge of the restaurant industry is why the private-equity firm tapped the bank, explained Andrew Heyer, co-founder and managing partner with Trimaran. "We talked to other people and they clearly distinguish themselves in this particular industry." He declined to name the other banks and terms of the credit.
The credit will comprise a $15 million revolver and a $70 million term loan. B of A underwrote the deal and syndication is expected in February. Trimaran is buying Charlie Brown's from Castle Harlan, which bought the company from Restaurant Associates Corp. for $50.4 million in 1997. The company operates 54 restaurants located in New York, New Jersey and Pennsylvania. "We've been looking for a number of years for the right entry point into the restaurant industry," Heyer noted. "Since Charlie Brown's is local, we were sort of familiar with it as a business and after doing a little work, just approached Castle Harlan to see if they were interested in selling it and struck a deal with them. It was not an auction."