Stellus Capital Management, LLC Provides Unitranche Financing in Support of Gauge Capital’s Acquisition of Craftable

Rhea-AI Summary

Stellus Capital Management, LLC (Stellus) provides senior debt financing for Gauge Capital’s partnership with Craftable, a leading hospitality-focused SaaS platform. Craftable's innovative technology equips hospitality businesses with tools for real-time data-driven strategic decisions, resulting in revenue boosts and cost reductions. Craftable serves thousands of operators in the hospitality industry and partners with prominent names in hospitality.

Positive

• Craftable's leading hospitality management SaaS platform allows for seamless back-of-house automation and management, providing operators with procurement, inventory tracking, recipe cost management, accounts payable automation, scheduling, and analytics solutions, leading to a 3-5% reduction in pour costs and a 2-3% reduction in food costs.
• Stellus' support of the transaction and their ability to provide a flexible financing structure enables Gauge to capitalize on growth opportunities and further enhance Craftable’s position in the hospitality industry.
• The partnership with Gauge will provide the Craftable team with additional resources and support to accelerate growth.

Negative

• None.

HOUSTON--(BUSINESS WIRE)-- Stellus Capital Management, LLC (“Stellus”) announced today that its affiliates provided senior debt financing in support of Gauge Capital’s (“Gauge”) partnership with Craftable, a leading hospitality-focused SaaS platform that provides back-of-house automation and management to the hospitality, food, beverage, and entertainment industries.

Founded in 2015, Craftable’s innovative technology solutions equip restaurant, bar, hotel, and hospitality business operators with intuitive and easy-to-use tools that can help them make strategic decisions based on real-time data to drive sales and reduce costs. Its leading hospitality management SaaS platform allows for seamless back-of-house automation and management. By providing operators with procurement, inventory tracking, recipe cost management, accounts payable automation, scheduling, and analytics solutions, they can use this critical data to boost revenue while successfully lowering pour costs by 3-5% and food costs by 2-3%. Craftable serves thousands of hospitality industry operators and partners with some of the most prominent names in hospitality.

“We appreciate Stellus’ support of the transaction and their ability to work swiftly to provide a flexible financing structure that enables us to capitalize on growth opportunities and further enhance Craftable’s position at the forefront of cutting-edge technology shaping the hospitality industry,” said Garrett Fair, Principal at Gauge.

Gavin Roseman, Managing Director at Stellus, added, “We are excited to partner with Gauge on another transaction and look forward to working with Samuel Zats and the entire Craftable management team. The Craftable team has created a leading hospitality SaaS platform with significant growth opportunities. The partnership with Gauge will provide the team with additional resources and support to accelerate growth.”

About Stellus Capital Management

Stellus Capital Management (“Stellus”) is one of the longest-tenured direct lenders specializing in senior secured loans in the lower middle market. Formed within the D.E. Shaw Group in 2004, Stellus spun out in 2012 and today manages $2.9 billion across various investment vehicles including closed-end institutional funds, a public BDC (NYSE: SCM), and a perpetual non-traded private BDC. Stellus is a single strategy firm and its founding partners have invested together in the lower middle market for 19+ years with a track record of $8.5bn deployed across ~350 transactions. Stellus is headquartered in Houston, TX with offices in the Washington D.C. area and Charlotte, NC. Learn more at stelluscapital.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230801754862/en/

Sarah Bowes

BackBay Communications

sarah.bowes@backbaycommunications.com

Source: Stellus Capital Management, LLC

FAQ

What is the partnership between Stellus and Gauge Capital with Craftable about?

Stellus provided senior debt financing for Gauge Capital’s partnership with Craftable, a leading hospitality-focused SaaS platform.

How does Craftable's technology benefit hospitality businesses?

Craftable's technology equips hospitality businesses with tools for real-time data-driven strategic decisions, resulting in revenue boosts and cost reductions.

What are the key solutions provided by Craftable's hospitality management SaaS platform?

Craftable provides procurement, inventory tracking, recipe cost management, accounts payable automation, scheduling, and analytics solutions.

How does the partnership with Gauge benefit Craftable?

The partnership with Gauge will provide the Craftable team with additional resources and support to accelerate growth.