November, 2012
Babson Capital Backs River Capital’s Investment In Blue Wave Products

SPRINGFIELD, Mass.--(BUSINESS WIRE)--Babson Capital Management LLC, a global investment management firm with more than $154 billion in assets under management and operations on four continents, announced it provided a combination of senior debt and subordinated debt and equity to support River Capital’s purchase of Blue Wave Products Inc.

Babson Capital served as the sole provider of senior and subordinated debt on the transaction.

Saint Charles, Ill.-based Blue Wave is a leading niche distributor of above-ground swimming pools, pool accessories and other products to internet dealers and the internet channels of large national retailers. Blue Wave serves as a one-stop shop offering more than 6,000 wholesale recreational products including pools, automatic cleaners, steps and ladders, winter products, games and saunas.

“As a reliable partner on eight portfolio investments spanning more than 25 years, Babson Capital consistently provides River Capital with a combination of experience and service that is difficult to match,” said Jerry Wethington, Managing Principal of River Capital. “River Capital looks forward to working with the Babson Capital team on Blue Wave and other investment opportunities going forward.”

“Babson Capital’s partnership-oriented approach to investing in the middle market is exemplified by our longstanding and valued relationship with River Capital,” said Mike Klofas, Managing Director and head of Babson Capital’s Mezzanine & Private Equity Group. “Blue Wave has built a leadership position in a niche market with its broad product offering, quick turnaround times, and strong customer service, and we are excited about its growth potential as it benefits from the operating experience of River Capital.”

Babson Capital Management LLC and its subsidiaries serve institutional investors around the globe and have over $154 billion in assets under management as of September 30, 2012. Through proprietary research and a focus on investment fundamentals, we develop products and strategies that leverage our broad array of expertise in global corporate debt markets, structured products, debt and equity financing for commercial real estate, and alternatives. Headquartered in Boston, the firm’s subsidiaries include Cornerstone Real Estate Advisers LLC and Wood Creek Capital Management, LLC. Babson Capital is a member of the MassMutual Financial Group and is on the web at www.BabsonCapital.com.

River Capital is one of the oldest firms of its type in the Southeast and has acquired companies in a broad range of industries with combined annual revenues in excess of $600 million. River Capital primarily invests in light manufacturing, distribution and select service companies with purchase prices of $10 million to $50 million. For add-on acquisition candidates, the firm will consider companies with a purchase price less than $10 million.

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