Tennenbaum Capital Partners, LLC (TCP) has announced that certain of its funds have agreed to provide a USD 100m engine financing facility to Mesa Air Group, Inc. (Mesa), a regional airline, the company said.
The facility will be used to purchase a portfolio of new General Electric CF34-8C5 engines and will provide Mesa with additional financing capacity to support its growing business.
Imperial Capital LLC acted as the exclusive financial advisor to Mesa in sourcing the financing. In closing the financing, Mesa was represented by DLA Piper and TCP was represented by Hughes Hubbard and Reed LLP.
Tennenbaum Capital Partners is an alternative investment management firm focused on direct lending and special situations for middle-market companies. The firm manages funds and accounts on behalf of global institutional investors. It also manages a publicly-traded business development company, TCP Capital Corp (NASDAQ: TCPC). TCP is headquartered in Los Angeles with additional offices in New York and San Francisco.
Phoenix-based Mesa Airlines operates as American Eagle from hubs in Phoenix and Dallas/Fort Worth and as United Express from Washington Dulles and Houston. Mesa currently operates 133 aircraft, with more than 600 daily system departures to 124 cities, 38 states, the District of Columbia, Canada, Mexico, and the Bahamas. The company has approximately 2,800 employees.