Capital Injection Strengthens Service King’s Financial Position by Reducing Net Indebtedness by Over $500 Million
DALLAS, TX – 05/31/2022 - Service King, a national operator of auto body collision repair facilities, today announced its entry into a comprehensive agreement with key financial stakeholders that will provide the Company with new capital, reduce debt, extend remaining existing debt maturities, and position Service King to increase reinvestment for long term growth. The agreement is supported by substantially all of the Company’s bondholders, holders of 100% of its outstanding first-lien revolving debt and at least 74% of its outstanding first-lien term loan debt, and its equity sponsors. With the support of its financial stakeholders, Service King expects to complete these recapitalization transactions on an expedited basis.
Weil, Gotshal & Manges LLP is serving as legal counsel to Service King’s sponsors.
For more information and to find a local Service King, visit serviceking.com and follow Service King on Facebook, Instagram and Twitter.
About Clearlake Capital Group
Clearlake Capital Group, L.P. is an investment firm founded in 2006 operating integrated businesses across private equity, credit, and other related strategies. With a sector-focused approach, the firm seeks to partner with management teams by providing patient, long-term capital to businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.® The firm’s core target sectors are industrials, technology, and consumer. Clearlake currently has over $72 billion of assets under management, and its senior investment principals have led or co-led over 400 investments. The firm is headquartered in Santa Monica, CA with affiliates in Dallas, TX, London, UK and Dublin, Ireland. More information is available at www.clearlake.com and on Twitter @Clearlake.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the securities laws. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words or variation of words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “projects,” “forecasts,” “targets,” “would,” “will,” “should,” “goal,” “could,” or “may” or other similar expressions. Forward-looking statements provide management’s current expectations or predictions of future conditions, events or results. All statements that address operating performance, events, or developments that Service King expects will occur in the future are forward-looking statements, including the Company’s ability to consummate the transactions contemplated by the Transaction Support Agreement and the Company’s expectations regarding future liquidity, cash flows, mandatory debt payments, and other expenditures. They may also include estimates of sales targets, cost savings, capital expenditures, other expense items, actions relating to strategic initiatives, demand for the company’s products, liquidity, capital structure, market share, industry volume, other financial items, descriptions of management’s plans or objectives for future operations and descriptions of assumptions underlying any of the above. All forward-looking statements speak only as of the date they are made and reflect Service King’s good faith beliefs, assumptions, and expectations, but they are not guarantees of future performance or events. Furthermore, Service King disclaims any obligation to publicly update or revise any forward-looking statement, except as required by law. By their nature, forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements.
Contacts
For Service King:
press@serviceking.com
Michael Freitag and Meaghan Repko
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449