# Nodem Completes $60 Million NAV Facility for a Mid-Market Buyout Fund

A fund-level NAV loan allowed a GP to execute a bolt-on acquisition for its top-performing portfolio company, preserving dry powder and avoiding an additional LP capital call.

## Transaction Overview

Nodem Capital completed a $60 million NAV loan to a mid-market buyout fund managed by a European GP. The facility is secured against a concentrated portfolio of eight direct equity investments in industrials and business services, with a combined NAV of approximately $350 million.

The GP identified a bolt-on acquisition target for its strongest portfolio company. Rather than calling additional capital from LPs or selling a secondary stake, the fund used the NAV facility to finance the add-on directly. Repayment is structured as a cash-flow sweep, triggered by the expected exit of two mature portfolio companies within 18 months.

## Why This Structure

The fund was substantially deployed and an additional capital call would have been poorly received by LPs already managing their own liquidity constraints. The NAV facility provided non-dilutive capital at the fund level, allowing the GP to execute a value-accretive transaction on the timeline the opportunity required.

## Facility Details

- Facility size: $60 million

- Borrower: Mid-market buyout fund (European GP)

- Collateral: 8 direct equity investments in industrials and business services

- LTV: Below 20%

- Interest: Cash pay with PIK toggle option

- Duration: 2 years

- Use of proceeds: Bolt-on acquisition for portfolio company

- Repayment: Cash-flow sweep from anticipated exits

## About Nodem Capital

Nodem Capital is a specialist NAV lender providing portfolio-backed credit facilities, typically $20 million to $100 million and above, to family offices, GPs, and private funds. Nodem is authorised and regulated by the Financial Conduct Authority. For enquiries, contact abranton@nodem.com or visit nodem.com.