NewStar Financial Leads Senior Financing For Coto Global Solutions Acquisition
NewStar Backs Acquisition by ABRY Partners' Portfolio Company
Boston, MA, January 22, 2008 NewStar Financial, Inc. (NASDAQ: NEWS), a Boston-based specialty finance company, announces that it is Sole Lead Arranger and Administrative Agent on a new financing to support the acquisition of Coto Global Solutions ("Coto") by ABRY Partners' ("ABRY") portfolio company Language Line Services ("Language Line"). Boston-based ABRY is a private investment firm specializing in investments in the media, communications and information/business services sectors with approximately $2.75 billion of total capital under management. The acquisition of Coto, operating under the name TeleInterpreters, further expands Language Line's market presence, while offering the clients of both companies access to greater resources and expertise. Coto will begin operating under the Language Line name immediately with integration of customer service and operations to be completed during 2008.
NewStar serves as Lead Arranger and Administrative Agent for the senior credit facilities, and was joined by CIT in the financing. "The NewStar team was responsive to the requirements of this unique transaction and they played an integral part in making this transaction a success," noted C.J. Brucato, Partner at ABRY.Founded in 1982, Language Line Services provides interpretation services in more than 175 languages and counts more than half of the nation's Fortune 1000 companies among its customers. Sparked by favorable market conditions and an evolving suite of innovative product offerings, Language Line Services' business has expanded considerably in the last several years making it the largest global player in over-the-phone interpretation services.Based in California, Coto is a family of language services companies that provides multilingual support through on-demand telephone-based customer service and sales, document translation for customer materials and multi-national based employees, and onsite interpretation for in-person meetings. For two decades Coto has been a leader in the language services industry, partnering with commercial enterprises from Fortune 500 to small businesses, government agencies at all levels, and healthcare organizations to provide high-quality language services across 170 languages."NewStar is proud to help unite Coto Global Solutions and Language Line Services, which together form the premier provider of language services to the nation's growing population of Limited-English speakers and the organizations who serve them," said Ernie Panos, Managing Director at NewStar. "This is the third transaction NewStar has financed for ABRY in as many months, and it underscores our commitment to meeting the complex financing needs our private equity partners require."The Deal team for this transaction at NewStar includes Ernie Panos, Rob Milordi, Jeff Greene, John Koehler and Chris Macios.About NewStar Financial, Inc.:
NewStar Financial (NASDAQ:NEWS) is a specialized commercial finance company focused on meeting the complex financing needs of companies and private investors in the middle markets. The Company specializes in providing senior secured debt financing for the acquisition or recapitalization of mid-sized companies and commercial real estate. NewStar originates loans directly through a team of experienced, senior bankers organized around key industry and market segments. The Company targets 'hold' positions of up to $20 million and selectively underwrites or arranges larger transactions for syndication to other lenders. NewStar is headquartered in Boston MA and has regional offices in Darien CT, Chicago IL, San Francisco CA, San Diego CA, and Charleston SC. For more detailed transaction and contact information, please
visit our website at www.newstarfin.com
Anne G. Bork
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