JW Aluminum Company (“JWA” or the “Company”) announced today that a majority of its shares have been acquired by a group of leading institutional investors, including business development companies managed by Franklin Square Capital Partners and sub-advised by an affiliate of Blackstone’s (NYSE:BX) GSO Capital Partners LP (“GSO”). The group also provided financing to effect a recapitalization of the Company.
The recapitalization competitively positions the Company in the flat rolled aluminum market, reinforces its status as a long term domestic producer and furthers its ability to deliver exceptional value to its customers.
Commenting on the transaction, Chief Executive Officer, Lee McCarter said “With the completion of this transaction, JWA has secured a lower cost capital structure that enhances our competitive position in the market for flat rolled aluminum. We now have an appropriate level of leverage, prospects for strong cash generation and greater ability to invest in capabilities and services that will enhance our customers’ experience.”
Also commenting on the transaction was Brad Colman, a Principal at GSO and Company board member, who said “JWA is an attractive investment with a leading position serving end-markets that are in early stages of recovery. We are pleased to have completed this transaction and to support the strategic plans of the current management team.”
About JW Aluminum
JW Aluminum manufactures specialty flat-rolled aluminum products including fin stock used by the heating and cooling industry, light gauge converter foil for the flexible packaging industry, honeycomb foil for the aerospace industry, bare and painted sheet products for window coverings and the building and construction markets, as well as other foil and sheet products. JWA operates plants in Mt. Holly, South Carolina; St. Louis, Missouri; Russellville, Arkansas and Williamsport, Pennsylvania.
For more information about JW Aluminum, visit www.jwaluminum.com.
About Blackstone and GSO
Blackstone is one of the world’s leading investment firms. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our asset management businesses, with over $330 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.
GSO Capital Partners LP is the global credit investment platform of Blackstone. With approximately $81 billion of assets under management as of September 30, 2015, GSO is one of the largest alternative managers in the world focused on the leveraged-finance, or non-investment grade related, marketplace. GSO seeks to generate attractive risk-adjusted returns in its business by investing in a broad array of strategies including mezzanine debt, distressed investing, leveraged loans and other special-situation strategies. Its funds are major providers of credit for small and middle-market companies and they also advance rescue financing to help distressed companies.
About Franklin Square Capital Partners
Franklin Square Capital Partners (“Franklin Square”) is a leading manager of alternative investment funds designed to enhance investors’ portfolios by providing access to asset classes, strategies and asset managers that typically have been available to only the largest institutional investors. The firm’s funds offer “endowment-style” investment strategies that help construct diversified portfolios and manage risk. Franklin Square strives not only to maximize investment returns but also to set the industry standard for best practices by focusing on transparency, investor protection and education for investment professionals and their clients. Founded in Philadelphia in 2007, Franklin Square quickly established itself as a leader in the world of alternative investments by introducing innovative credit-based income funds, including the industry’s first non-traded business development company (“BDC”). As of September 30, 2015, the firm managed approximately $167.0 billion in total assets, including $15.47 billion in BDC assets, making it the largest manager of BDCs. For more information, please visit www.franklinsquare.com.
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Contacts:
Chester Roush, Chief Commercial Officer
843-764-8279
