HIG WhiteHorse, the credit arm of HIG Capital, has provided a mezzanine debt facility to German software provider STP to finance its expansion, the firm said in a statement.
The deal is based around a mezzanine facility, with no amortisation payments until maturity. The facility is to be repaid via cash and payment-in-kind interest.
HIG WhiteHorse said the deal was structured “to provide the company with the required flexibility as it continues to strengthen its strong existing market position and expand into adjacent product areas”.
STP provides software and related services to insolvency administrators, insolvency courts and corporate law firms in Germany. The company was founded in 1993, and has more than two thirds market share in Germany.
Appu Mundassery, managing director at HIG WhiteHorse, said in the statement: “This transaction demonstrates our strong commitment and unique ability to support successful entrepreneurs and their businesses with highly customized and flexible capital solutions catering to the specific requirements of owner-managers.”