Information Technology Solutions & Services

Business Capital delivers $13 Million Acquisition Financing Package for Leveraged Buyout to Provider of IT Solutions and Services for the US Government and Middle East

“On behalf of the entire team at Sysorex, we are delighted with the way Business Capital navigated our leveraged buyout financing of Lilien Systems. Business Capital produced several options for financing, created competition among the interested funding sources and put Sysorex in a strong position to negotiate the best terms and conditions. They executed the transaction more quickly and at a lower cost of capital than expected. Business Capital was a pleasure to work with and produced great results and an intelligently structured credit facility.” 

Nadir Ali, President of Sysorex Global Holdings Corp

The Client

The Company, Sysorex Global Holdings Corp. (SYRX), is a leading information technology solutions and services firm that delivers IT and solutions for domestic and international government agencies, and large corporations. Solutions range from custom applications development to commercial off-the-shelf services to a variety of system integration and project management services, as well as services for mission critical applications.

The Situation

The Company plans to expand and increase its depth of enterprise service offerings through a series of acquisitions. The initial target, Lilien LLC — an established commercial IT provider based in the US with over $40M in annual revenue, would provide the client premier partnerships with leading vendors in IT infrastructure, the ability to deliver Big Data services and advanced analytics and offer more competitive pricing for government opportunities. Both companies would benefit from the ability to bundle additional, complementary solutions, services and products.

The Solution

Business Capital quickly developed an understanding of the complexity of the client’s situation, the issues and opportunities and worked with a carefully selected lender to package a solution that was a combination of stock and cash from debt financing to complete the acquisition.

“In this highly selective lending environment, acquisition financing can be a challenge for most banks and funds. We were extremely thorough in our evaluation of both companies and were able to uncover value beyond that which was reported in the financial statements, which contributed to our ability to successfully secure smart capital for the Leveraged Buyout.”

Chuck Doyle, Managing Director, Business Capital


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