Wednesday, Sep. 19, 2007, 08:00 PM UPDATED 11:59 AMBy Nick Zulovich
DENVER — SmartMove Auto announced that it has completed a $30 million debt financing. The company has a chain of used stores that focus on subprime customers through buy-here, pay-here and rent-to-own business models.
Morgan Keegan & Co. acted as sole placement agent and financial adviser for the debt facility. The $30 million secured financing enhances the company's capital structure and provides additional funding to continue the growth of SmartMove Auto's business, officials explained.
The credit facility has the ability to expand up to $70 million should SmartMove Auto's growth necessitate a facility of that size.
According to company executives, SmartMove Auto provides high-quality, dependable vehicles to credit-challenged customers in a friendly and professional environment.
"The SmartMove Auto team has worked very hard this year to make affordable automobiles available to its customers. The customer base continues to expand rapidly, with nine locations in three states and three more opening soon," officials reported.
The company indicated that it is working to add more locations in the coming months.
"We were pleased to be selected as the company's financial adviser. The ability to complete the transaction in this credit market is a testament to SmartMove Auto's strength and position in the market. This transaction gives SmartMove Auto the ability to continue its high rate of growth and store expansion model," said Keith Meyers, senior vice president of financial services investment banking at Morgan Keegan & Co.