Startek, an international business process management firm, said it invested $30 million in CSS Corp in a limited partnership managed by its majority shareholder, Capital Square Partners. Startek will acquire both an indirect beneficial interest of approximately 26 per cent in CSS, an IT services and tech support company. Startek said in a statement it had the option to acquire a majority stake in CSS without being obliged to do so. The investment was funded through a newly secured $185 million senior debt facility from CSP Alpha Holdings Pte. Ltd., a wholly-owned unit of Startek. This debt refinancing consists of a $165 million term loan and a $20 million revolving credit facility. The term loan bears a moratorium on principal repayment for 21 months and will amortize quarterly thereafter, beginning in November 2022. The loan is subject to certain standardized financial agreements. The proceeds of this loan were used to repay in full the previous senior debt facility and to als
Startek to acquire 26% stake in CSS Corp for $30 million
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Last Updated: Mar 16, 2021, 07:54 PM IST
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Startek, which has merged its business with India s Aegis, has invested $30 million in IT services firm CSS Corp in a limited partnership managed by Startek’s majority shareholder, Capital Square Partners.
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Mumbai: NYSE-listed BPM firm Startek which had merged its business with Indian BPO firm
Aegis has invested $30 million in IT services firm CSS Corp in a limited partnership managed by Startek’s majority shareholder, Capital Square Partners.
Startek will acquire 26% indirect beneficial interest in CSS. It will also have the option to acquire a controlling stake in the company. The company however said in a statement that the option to acquire majority stake was at its discretion and that Startek is not obliged to do so.
Press release content from Business Wire. The AP news staff was not involved in its creation.
Startek Makes Strategic Minority Investment in CSS Corp to Accelerate Digital Investments
February 25, 2021 GMT
GREENWOOD VILLAGE, Colo. (BUSINESS WIRE) Feb 25, 2021
StarTek, Inc. (NYSE: SRT) (“Startek” or the “Company”), a global provider of customer experience management solutions, today announced a strategic investment in CSS Corp. (“CSS”), a new-age IT services and technology support solutions company that harnesses the power of AI, automation, analytics, cloud and digital to address customer needs.
Capital Square Partners (“CSP”), a Singapore based Private Equity Fund Manager and Startek’s majority shareholder, acquired a controlling stake in CSS on February 25, 2021. Startek has participated in this transaction by contributing a total of $30 million in a limited partnership managed by CSP to acquire both an indirect beneficial interest of approximately 26% in CS
Startek’s subsidiary refinances $185 million debt
February 25, 2021
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CSP Alpha Holdings Pte Ltd, a wholly-owned subsidiary of Startek, has completed refinancing of a newly-secured $185 million debt facility, comprising a $165-million term loan and a $20-million revolving credit facility.
Borrowings under the new senior debt will bear a tiered interest rate, which is based on the company’s consolidated net leverage ratio and is initially set at LIBOR plus 450 basis points, the company said in a statement.
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“Our new credit facility allows us to extend the maturities of our debt and provides enhanced liquidity. Most importantly, it has a moratorium on principal repayments for the first 21 months, which will provide increased flexibility for the company to manage its operations and finances. This also enables us to take advantage of growth opportunities and long-term strategic investments that can further improve the margin profile and earnings power of the organ
Read more about Startek announces $185mn debt refinancing with term loan, revolving credit on Business Standard. Borrowings under new senior debt will bear tiered interest rate, based on Startek s consolidated net leverage ratio and is initially set at Libor plus 450 bps