Opus Bank’s Corporate Finance division provides senior debt financing for investment in Avaap by New MainStream Capital
Significance of Transaction
NMS is a private investment firm specializing in strategic equity investments and leveraged buyouts with a concentration on service-oriented businesses in the following three sectors: Healthcare Services, Business Services, and Consumer Products and Services.
Given the asset-light nature of these businesses, the financing structure required an enterprise value approach to lending.
Opus provided a cash flow facility to facilitate NMS’ investment in Avaap.
Overview of Transaction
Avaap, founded in 2006 and headquartered in Edison, NJ, is the fastest-growing IT services and software development firm strategically focused on Infor and is a premier implementation services provider for Infor’s enterprise application software suite of on-premise and cloud solutions.
Avaap is one of the largest North American Infor-only IT services and software development firms, with a global center of excellence in Chennai, India, and deep industry expertise in equipment rentals and sales; healthcare; public sector; manufacturing and distribution; food and beverage; as well as retail and fashion.
New MainStream Capital (“NMS”), in partnership with Avaap CEO and Founder Dhiraj Shah, invested in Avaap.
Opus Bank (“Opus”) provided term financing to support the investment and a revolving line of credit for working capital.
Opus Bank's Role
NMS needed to close transaction within two weeks of executing the proposal letter.
Diligence, underwriting, and all documentation were completed within this time frame, and the transaction was successfully funded by the required closing date.