News
NewSpring Capital’s Mezzanine Fund Announces Its Investment in FlagZone, LLC
KING OF PRUSSIA, PA – December 19, 2005 – NewSpring Capital’s mezzanine fund, NewSpring Mezzanine Capital, L.P., along with TRF Urban Growth Partners, invested a total of $6 million in a recapitalization of FlagZone, LLC. FlagZone, founded in 2000, is a specialty manufacturer of flags and banners headquartered in Pottstown, PA.
This investment will enable FlagZone to buyout an existing investor and fund investments needed for its planned growth and expansion. The Company will be focused on growing its core business as a quality manufacturer of flags and banners for its dealer, government and retail customers. FlagZone will also be entering into the specialty advertising business, producing custom flags and banners, in 2006.
Kurt C. Koloseike, President & CEO of FlagZone, LLC, stated, “We are very excited about the opportunities that are available for FlagZone. The completion of this transaction is the first step of a future growth plan. This is an example of our strategy to expand FlagZone beyond the traditional flag and banner markets, where we are already a well-established company.”
Steven D. Hobman, general partner at NewSpring Mezzanine Capital, L.P., stated, “We are extremely pleased to add FlagZone to the portfolio of NewSpring Mezzanine Capital. FlagZone is known for its attention to quality and customer service. We look forward to assisting the Company in achieving its growth initiatives.”
About FlagZone, LLCFlagZone, LLC is a manufacturer and distributor of United States, state, foreign, decorative and custom flags and banners. The Company currently operates two manufacturing facilities located in Pottstown and Collegeville, Pennsylvania and currently distributes over 1,800 flag, banner and accessory SKUs.
About NewSpring Mezzanine Capital, L.P.
NewSpring Mezzanine Capital is a $76 million mezzanine fund managed under the NewSpring Capital Family of Funds. NewSpring Capital, based in King of Prussia, Pennsylvania, is a family of specific purpose private equity funds, with approximately $250 million under management, focused on the Mid-Atlantic region. The Family of Funds includes: NewSpring Ventures, L.P., a venture capital fund providing equity capital to growth and expansion stage companies with a focus on information technology, business services, and healthcare; NewSpring Healthcare, L.P., a venture capital fund focused on intermediate- and late-stage life science and healthcare companies; and NewSpring Mezzanine Capital, L.P., a mezzanine private equity fund focused on late stage and buy-out opportunities in information technology, healthcare, business services and specialty manufacturing.
About TRF Urban Growth Partners
TRF Urban Growth Partners is a private equity fund based in Philadelphia, Pennsylvania. TRF considers investments ranging from $1 million to $4 million and offers both equity and subordinated debt investments. TRF Private Equity targets companies that are in or near urban markets in the Mid-Atlantic region including Pennsylvania, New Jersey, Delaware, Maryland, and Washington, D.C.
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