Sheridan Group Bought
NEW YORK—Private equity groups Bruckmann, Rosser, Sherrill & Co. and Jefferies Capital Partners have agreed to acquire the Sheridan Group from BancBoston Ventures and other shareholders in a deal valued at $142 million.
The private equity firms will invest $44 million for a common and preferred equity stake in the Hunt Valley, MD-based company, according to a report from Moody's Investors Service.
To finance the acquisition, Sheridan will issue $100 million of senior secured notes, which will be used in part to refinance $66 million of existing debt as of June. It will also receive a new $20 million working capital credit facility. Once the leveraged buyout is completed, the company's debt will grow to $101 million.
The company generated $209 million in 2002 sales, according to Moody's. BancBoston Ventures acquired Sheridan in 1997 in a deal that included $69.5 million in bank debt.
The Sheridan Group was created when The Sheridan Press acquired Braun-Brumfield in 1988. The company added United Litho in 1994 to its holdings, followed by Capital City Press and Dartmouth Printing in 1998. In 1999, Sheridan Books was created with the merger of Braun-Brumfield and then-newly acquired BookCrafters.