CHARLOTTE, N.C., Jan. 29, 2015 /PRNewswire/ -- Deloitte Corporate Finance LLC ("DCF") acted as the financial advisor to ArcaTech Systems, LLC ("ARCA") on its acquisition of CTS Electronics S.p.A. and five related entities (collectively, the "CTS Group"). Deloitte UK's Debt Advisory Group assisted in securing senior financing for the transaction. Headquartered in Mebane, North Carolina, ARCA is a global leader in cash automation and payment technologies. With the purchase, ARCA acquired CTS Group, a global provider of cash, check, and card automation technologies based in Ivrea, Italy.
The combined company will provide banking and retail clients around the world with customer-driven solutions for their cash and payment automation needs. Deloitte acted as exclusive advisor to ARCA in successfully obtaining financing for the transaction from Falcon Investment Advisors ("Falcon") and Prudential Capital Group ("Prudential Capital").
"For the past 12 years, we have worked hand-in-hand with CTS, bringing their transformative technology to our customers throughout North America," said Mort O'Sullivan, ARCA's founder and CEO. "This acquisition combines CTS Group's proven engineering and R&D capabilities with ARCA's strong customer commitment, enabling us to respond faster to market changes while developing products and services to better meet customer needs. Deloitte helped make this deal happen by providing access to capital providers and critical support for ARCA's partner selection process."
"As the global economy embraces new payment technologies, it is imperative for financial institutions and retailers to improve efficiencies in automation and technological advancement in handling cash. Deloitte helped ARCA secure lenders that understood the key industry trends and leveraged our global network to assist ARCA as it capitalized on this strategic acquisition," said John Deering, managing director, Deloitte Corporate Finance LLC.
"We are seeing increased M&A activity in Europe driven by growing lender liquidity in the market. We expect this trend to continue, benefiting growth-oriented companies, such as ARCA," said Phil Colaco, managing director, Deloitte Corporate Finance LLC.
Since 1998, ARCA has been helping people find better ways to automate financial transactions in bank branches, retail stores and self-service kiosks. Today, with customers in over 50 countries, ARCA continues to grow by providing technology and services to make transactions simpler, more efficient, and more secure. To learn more about ARCA's innovative culture and commitment to our customers, please visit www.arca.com.
Based in Ivrea, Italy, and established in 1980, the CTS Group is a leading global manufacturer and distributor of automated devices. The CTS Group has sold over one million banking peripherals globally and pioneered cash recycling and check imaging technology. The company operates in various sectors, from banks to retail to public administration, and has specific know-how in the design and development of products with a high technological content. The product portfolio includes: document and check processing solutions, coin and banknote recyclers, automatic deposit systems for checks and banknotes, desktop embossers for financial card instant issuance and OEM modules. For more information, visit http://www.ctsgroup.it/.
About Falcon Investment Advisors, LLC
With offices in Boston and New York, Falcon provides innovative capital solutions in amounts of $10 million to $75 million to leading middle market companies. Since its founding in 2000, Falcon has invested in over 60 companies in a broad range of industries to support acquisitions, recapitalizations, buyouts and organic growth. Falcon currently manages over $1.9 billion of capital and has invested over $2 billion since inception. Falcon is currently investing out of Falcon Strategic Partners IV, LP, a $910 million vehicle. For more information, please visit www.falconinvestments.com.
About Prudential Capital Group
Prudential Capital Group has been a leading provider of private debt, mezzanine and equity capital for more than 70 years. Managing a portfolio of $69.1 billion as of September 30, 2014, Prudential Capital offers senior debt and mezzanine capital, leveraged leases, credit tenant leases, and equipment finance to companies worldwide. Prudential Capital was one of the first financial institutions to offer private placements and mezzanine financing in Europe, and has a significant international market presence of more than 30 years in London, more than 15 years in Frankfurt and more than five years in Paris. The global regional office network includes locations in Atlanta, Chicago, Dallas, Frankfurt, London, Los Angeles, Minneapolis, Newark (N.J.), New York, Paris and San Francisco. Prudential Capital is the private placement investment arm of Prudential Insurance Company of America. For more information, please visit www.prudentialcapitalgroup.com.
About Deloitte Corporate Finance LLC
Deloitte Corporate Finance LLC ("DCF") provides strategic advisory services and M&A advice that help corporate, entrepreneurial, and private equity clients create and act upon opportunities for liquidity, growth, and long-term advantage. With an in-depth understanding of the marketplace and access to a global network of investment bankers, we help clients confidently pursue strategic transactions in both domestic and global markets. DCF, together with the Corporate Finance Advisory practices within the Deloitte Touche Tohmatsu Limited network of member firms, include in excess of 1,900 professionals, who work collaboratively across 150 international locations. With our significant experience providing investment banking services across key industries, we are able to offer our clients solutions that help them to achieve their strategic objectives. For more information, visit www.investmentbanking.deloitte.com.
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