Gladstone Capital Provides Debt & Equity in Management Buyout of EMT Metals

Rhea-AI Summary

Gladstone Capital Corporation (NASDAQ:GLAD) announced its investment in Engineering Manufacturing Technologies, LLC (EMT Metals) through a senior debt and minority equity stake, aiding in the company's management buyout. Since 2013, EMT Metals has increased its revenue nearly six-fold under CEO Jim Kirkwood's leadership, focusing on quality and customer service. Gladstone's involvement is expected to enhance EMT's growth initiatives and profitability through internal expansion and potential acquisitions, leveraging its advanced manufacturing capabilities.

Positive

• Gladstone Capital's investment will support EMT Metals' growth initiatives.
• EMT Metals has shown impressive revenue growth of nearly six-fold since 2013.
• Gladstone's dual role as debt and equity partner indicates a strong commitment to EMT's success.

Negative

• None.

MCLEAN, VA / ACCESSWIRE / October 25, 2021 / Gladstone Capital Corporation (NASDAQ:GLAD) ("Gladstone Capital") announced that it has completed a senior debt and minority equity investment in support of the management buyout of Engineering Manufacturing Technologies, LLC ("EMT Metals").

Headquartered in Endicott, NY, EMT Metals is a precision manufacturer of close tolerance metal components used in a variety of end markets and applications. Since acquiring the business as part of a shareholder group in 2013, President & CEO Jim Kirkwood has been successful in growing revenues nearly six-fold over the past eight years by focusing on providing an unmatched standard of quality and overall excellence in customer service.

"Our entire organization is extremely excited to have aligned with Gladstone Capital to support our company's on-going growth and continued success," stated Jim Kirkwood, President & CEO of EMT Metals. "What impressed me most about Gladstone Capital is their proven track record in enabling and supporting companies like ours to achieve aggressive growth initiatives and improve profitability both organically and through targeted strategic acquisitions. Having Gladstone Capital participating not only as a debt provider, but also as an equity partner, proves their commitment and vision of the significant upside potential EMT Metals can achieve as we embark on our new venture."

"Under Jim's leadership, EMT Metals has made significant investments in the equipment and management team which has enriched the Company's track record of successful design and manufacturing of highly customized, critical metal components for a number of large, blue chip customers across a variety of new industry sectors," said Paul Cobuzzi, Director of Gladstone Capital Corporation. "We are excited to support Jim and the rest of the team as they continue to grow the business through a combination of expanding their internal production capabilities or potential acquisitions of similar precision manufacturers."

About Gladstone Capital Corporation: Gladstone Capital Corporation is a publicly-traded business development company that invests in debt and equity securities, consisting primarily of secured first and second lien term loans to lower middle market businesses in the United States. Information on the business activities of Gladstone Capital and the other publicly-traded Gladstone funds can be found at www.GladstoneCapital.com or www.GladstoneCompanies.com.

About Engineering Manufacturing Technologies, LLC: Originally founded in 1946, Engineering Manufacturing Technologies, LLC is a premier manufacturer of metal components for diversified end markets. Leveraging a 130,000 square foot manufacturing facility and comprehensive spectrum of high-tech manufacturing capabilities, EMT Metals has a long history and outstanding reputation of delivering an all-encompassing product offering to its customers.

Investor Relations Inquiries: Please visit www.gladstonecompanies.com or +1-703-287-5893

SOURCE: Gladstone Capital Corporation

View source version on accesswire.com:
https://www.accesswire.com/669371/Gladstone-Capital-Provides-Debt-Equity-in-Management-Buyout-of-EMT-Metals

FAQ

What investment did GLAD make in EMT Metals?

Gladstone Capital Corporation (GLAD) completed a senior debt and minority equity investment in Engineering Manufacturing Technologies (EMT Metals) to support its management buyout.

How has EMT Metals performed under its current CEO?

Under CEO Jim Kirkwood, EMT Metals has increased its revenues nearly six-fold since 2013, focusing on quality and customer service.

What is the significance of Gladstone's investment for GLAD shareholders?

Gladstone's investment in EMT Metals is expected to enhance growth prospects, potentially improving profitability for GLAD shareholders.

When was the investment in EMT Metals announced?

The investment by Gladstone Capital in EMT Metals was announced on October 25, 2021.