We are currently investing our first mezzanine fund: Spell Capital Mezzanine Partners.

Mezzanine Investment Criteria

Investments generally range from $3.0-10.0 million, sometimes larger through co-investment partners,
with flexible pricing structures tailored for each transaction.

Transaction Types

  • Private equity sponsored buyouts
  • Management and family-driven ownership transitions
  • Acquisitions
  • Recapitalizations
  • Growth capital

Company Characteristics 

  • EBITDA of $2.0 million and above
  • Stable and growing end-market demand
  • Diversified customers, markets and suppliers
  • Demonstrated recurring revenue
  • Sustainable free cash flow
  • Proven management team

Investment Structures

  • All-coupon, fixed rate, subordinated debt
  • Subordinated debt with nominally priced warrants
  • Minority equity co-investments

Alternative Roles, Participating As

  • A sole investor
  • A lead investor for a co-investment group
  • A co-investor with another institutional investor

Please contact any of our mezzanine partners if you have questions about Spell Capital Mezzanine, its investments or investment criteria.