Case Summary: Standard Diversified

Standard Diversified

$25 million Senior Term Loan

Overview

Standard Diversified, Inc. (AMEX:SDI) is a publicly-traded holding company (AMEX: ADI). To date, the Company’s investments include: a majority ownership stake in Turning Point Brands (NYSE: TPB), outdoor advertising assets in Texas, Alabama, Florida and Georgia and Maidstone Insurance, an auto, personal property and casualty insurance entity based in NY.

Situation

With the transformation of SDOI, after the acquisition of the TPB stock, management sought a financial partner who could creatively structure a debt facility by leveraging the individual assets of the holding company and thereby create liquidity to fund future acquisitions.

Solution

Crystal provided a $25,000,000 term loan to support the initial outdoor advertising acquisitions in addition to a committed delayed draw term loan to provide capital for future acquisitions.

“We believe there are ample opportunities to make attractive investments in this market. Yet our ability to do so is, in part, dependent on a financing partner that understands our investment thesis and vision. Crystal Financial took a thoughtful approach to generate liquidity from our portfolio companies and created a loan structure designed to provide us with both flexibility and access to capital for future acquisitions.”
-Greg Baxter, Executive Chairman