DENVER, CO – December 16, 2009 – Castle Pines Capital (“Castle Pines”), an innovative provider of channel finance solutions, today announced that it had raised $56 million in equity financing led by FTV Capital, a multi-stage private equity firm that invests in high-growth companies. Existing investors Fisher Capital Partners and Wells Fargo Foothill, Inc. also participated in the financing.
Castle Pines offers comprehensive channel finance programs – featuring short-term working capital financing and solutions that create efficiencies in the procurement cycle – for technology vendors, distributors, and their reseller customers. Castle Pines has rapidly grown origination volumes by over a 50% compounded annual growth rate since inception, while maintaining a strong portfolio. Castle Pines has achieved this growth through strategic relationships with leading financial institutions such as Wells Fargo Foothill, Inc., part of Wells Fargo & Company.
This financing will fuel further expansion in Europe and Latin America and support continued strong growth in the U.S. Castle Pines offers a compelling value proposition to vendors, including sales enablement, risk management, and cost reduction through outsourced transaction processing. Resellers benefit from extended financing terms, a superior technology platform, and reduced operating costs driven by efficiencies gained in the procurement cycle. As a leading provider of channel finance solutions Castle Pines works with the technology industry’s most prominent manufacturers, distributors and resellers.
“Castle Pines has built a highly successful channel finance platform for technology vendors, distributors, and resellers by leveraging years of domain expertise, state-of-the-art technology, and a customer-centric philosophy based on customization and flexibility,” said Brad Bernstein, FTV Capital partner and new Castle Pines board member. “We are extremely enthusiastic about working with such a seasoned management team and look forward to geographically extending this proven model.”
“FTV Capital is an excellent partner for Castle Pines because of its financial services domain expertise and global reach through its strategic limited partner network,” said Michael Gallagher, Castle Pines managing partner. “Our customer focused approach and industry leading technology platform provide the opportunity for an increasing number of customers to discover that channel finance is a tremendously attractive option for managing working capital. This financing will fuel further growth as Castle Pines serves this large and growing market segment.”
Morgan Keegan advised Castle Pines in this transaction.
About Castle Pines
Headquartered in Englewood, CO, Castle Pines is a privately-held company that provides innovative, worldwide channel financing solutions to vendors and resellers in the technology industry. Using a highly flexible, customer-friendly distribution finance model, Castle Pines customizes lending to accommodate vendor and reseller needs-giving them access to liquidity to grow and manage their businesses. The company’s nimble, service-oriented team offers deep and diverse domain experience. Castle Pines is vested in technology and tied to major capital sources, providing billions of dollars in annual financing.
About FTV Capital
FTV Capital is a multi-stage private equity firm that invests in high-growth companies offering a range of innovative solutions. FTV Capital provides entrepreneurs with unique access to its Global Partner Network, a group of the world’s foremost financial institutions that have invested in FTV Capital and its portfolio companies for more than a decade. Founded in 1998, FTV Capital has more than $1 billion under management and has offices in San Francisco and New York. For more information, please visit ftvcapital.com.
Contacts
Karen Derr Gilbert
FTV CAPITAL
1.415.229.3044
kgilbert@ftvcapital.com
