Main Street Capital Investor Day Presentation Deck
Private Loan Case Study - Klein Hersh (Lead Loan)
$85.0 Million
November 13, 2020
Senior Secured Credit Facility
Kleintersh
Strategic Leadership Placement
N STATE
CAPITAL PARTNERS
Sole Arranger
MAIN ST
CAPITAL CORPORATION
ā
ā
Note: Past performance does not guarantee future results
Main Street Capital Corporation
MAIN ST
CAPITAL CORPORATION
Transaction Overview
On November 13, 2020, Klein Hersh LLC (KH) closed an $85.0 million senior secured
credit facility consisting of:
$5.0 million cash flow Revolver (pari with the First Lien Term Loan, undrawn at
close)
$80.0 million First Lien Term Loan (the Term Loan)
Main Street served as the sole lead arranger in the financing process
At close, Main Street held $2.5 million of the cash flow Revolver and $40.0 million of the
Term Loan while syndicating the remaining $2.5 million of the Revolver and $40.0
million of the Term Loan to two other parties
Shortly after close, Main Street sold $5.0 million of the Term Loan bringing its total hold
size to $37.5 million of the credit facility
Main Street generated $250K in syndication fees through this transaction
Sourced from an Intermediary relationship
On April 27, 2022, KH paid off the Main Street credit facility, with the investment yielding
a 16.1% annualized Internal Rate of Return, or IRR, and 1.13x Multiple on Invested
Capital
Company Overview
KH is an executive search placement firm focused on the health care and life sciences industries; KH has become a trusted advisor to
leading global pharma, emerging biotech and life sciences-focused PE / VC firms
KH has a distinct culture and a business model incorporating three to four touch points with different account executives in every search that
separate it from its competitors
NYSE: MAIN
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