Private Credit for Acquisition Financing
Financely structures and underwrites debt packages to close acquisitions on credible timelines. We arrange unitranche, mezzanine, holdco PIK, seller notes, and asset-backed lines with security, covenants, and cash controls that stand up in the real world.
Who We Serve
- Financial sponsors and independent sponsors
- Corporate acquirers and carve-out buyers
- Management teams executing MBOs
- Family offices building buy-and-hold platforms
Use Cases
- Control buyouts and majority recapitalizations
- Roll-ups and bolt-ons with tight closing windows
- Bridge to refinance after integration and audited close
- Cross-border acquisitions with FX and tax constraints
Structures We Arrange
Unitranche / Senior Stretch
Single-tranche term debt to fund the purchase price with a simple intercreditor behind any RCF. Favours speed and certainty when auctions are competitive.
Mezzanine & Preferred
Contractual coupon with PIK options, light governance rights where needed, and an equity kicker only when the credit risk demands it.
Holdco PIK & Acquisition Bridge
Quick-to-document holdco notes for signing and closing. Refinanced post-close into a longer-dated stack once audits, filings, and consents are complete.
Seller Notes & Earnouts
Vendor paper aligned to performance. Bridges valuation gaps and preserves cash at close while keeping the seller engaged.
Asset-Based Lending & RCFs
Borrowing bases on receivables, inventory, and select PP&E. Supports working capital and integration without strangling term covenants.
FX & Cross-Border Mechanics
Hard-currency holds with local cash sweep mechanics, waterfall escrows, and hedging so debt service matches cash generation.
Terms Snapshot
| Instrument |
Typical Ticket |
Leverage Guide |
Tenor |
Economics |
| Unitranche / Senior Stretch |
USD 10m–150m |
Up to ~3.5x–4.5x EBITDA, case by case |
3–6 years |
Cash margin plus fees; bullets or sculpted with cash sweep |
| Mezzanine / Preferred |
USD 5m–75m |
Total leverage to ~5.0x with strong cash conversion |
4–7 years |
Coupon with PIK features; equity kicker when warranted |
| Holdco PIK / Acquisition Bridge |
USD 10m–100m |
Fit-for-purpose |
12–36 months |
PIK-heavy with call protection; take-out after stabilization |
| Seller Note / Earnout |
USD 2m–50m+ |
Complements senior and mezzanine |
2–5 years |
Subordinated coupon or profit share tied to performance |
Ranges are indicative and depend on sector, jurisdiction, and documentation quality.
Security & Control
- Share pledges at Bidco and Opco, guarantees where legal and practical
- Fixed and floating charges over assets, IP, and key contracts
- Blocked accounts, escrow waterfalls, and cash sweep mechanics
- Assignment of material contracts with counterparty consents
- Intercreditor and subordination that match the capital stack
- Change of control approvals and insurance assignments at close
Underwriting Requirements
- Three years of audited financials and latest management accounts
- Quality of earnings scope and tax diligence plan
- Customer and supplier concentration, churn, and margin analysis
- Working capital seasonality and borrowing base evidence
- Draft SPA, sources & uses, and integration plan
- Beneficial ownership KYC and sanctions screening
- Security perfection roadmap by jurisdiction
- FX policy and hedging plan for debt service
- Regulatory and licensing confirmations where required
- Board governance and reporting cadence post-close
Execution Timeline
1. Screening
Teaser, model, audited history, SPA outline. We confirm feasibility and lender appetite.
2. Term Sheet
Indicative structure, pricing ranges, covenants, collateral, and timetable.
3. Underwriting
QoE, legal, tax, technical workstreams. Intercreditor and security perfected.
4. Closing & Funding
CPs satisfied, funds scheduled, cash controls live. Post-close monitoring begins.
What Drives Approval
- Free cash flow to debt service with headroom under downside cases
- Visibility on pipeline, churn, and margin durability
- Integration plan with accountable owners and monthly targets
- Clean legal structure and practical enforcement
- Refinance or exit path inside tenor
Frequently Asked Questions
How fast can we close
Eight to twelve weeks from complete data. Faster where security filings and approvals are straightforward.
How much equity is expected
Meaningful equity at risk. Vendor notes and earnouts can supplement but do not replace equity.
Do you pair international private credit with local banks
Yes. We often combine a private credit term loan with a local RCF or guarantees to improve liquidity and enforcement.
Which sectors see the most traction
Consumer, healthcare, logistics, essential B2B services, power services, telecom adjacencies, and export-oriented manufacturing.
Request Acquisition Financing Terms
Share your teaser, SPA outline, audited financials, and integration plan. We will revert with structure options and a closing checklist.
Start in CLOSE
Financely Group acts as an arranger through regulated partners. Engagements require KYC, AML, sanctions screening, credit and legal diligence, and approval by counterparties. Nothing here is a commitment to lend or a solicitation to purchase securities.