Case Summary: Turtle Beach Corporation

Turtle Beach Corporation

$15.0 million term loan

Overview

Turtle Beach Corporation (Ticker: HEAR) designs leading-edge audio products for the consumer, commercial and healthcare markets. Under the Turtle Beach brand, the company markets a wide selection of quality gaming headsets catering to a variety of gamers' needs and budgets, for use with video game consoles, including officially-licensed headsets for the Xbox One and PlayStation®4, as well as for personal computers and mobile/tablet devices. 

 

Purpose

As part of a multi-step recapitalization, Turtle Beach sought incremental capital to repay $4.0MM in subordinated debt and to finance a variety of strategic initiatives to drive sales growth and enhance margins. 

 

Result

Working in conjunction with the Company's existing revolver lender, Bank of America Business Capital, a division of Bank of America Merrill Lynch, Crystal provided a $15.0MM term loan secured by a 1st lien on all the company's non-working capital assets.  

 

"We are very pleased to have successfully secured this additional capital from Crystal said Juergen Stark, Chief Executive Officer, Turtle Beach Corporation. “The Crystal team was terrific to work with during the process and executed the transaction with our current revolving lender seamlessly and efficiently. This incremental liquidity will allow us to implement our growth and profit improvement strategies. We are excited to move forward with our improved capital structure and we’re confident that the partnership will be a beneficial one for us long term.”