CHICAGO, March 5 /PRNewswire/ -- BlueStar Energy Services, Inc. ("BlueStar"), a retail energy supplier providing electricity and related services to industrial, commercial and residential customers in Illinois, Maryland and Washington, D.C., today announced that it has closed a new secured credit facility. The new financing consists of a senior secured revolving line provided by RBS Citizens, NA ("RBS") and a subordinated mezzanine loan provided by RBC Capital Partners, a division of the Royal Bank of Canada ("RBC"). While specific terms were not disclosed, BlueStar's two founders will retain 100% ownership of the company. Proceeds of the credit facility will be used to meet collateral requirements with BlueStar's wholesale suppliers and to fund BlueStar's continued growth.
"This new credit facility effectively doubles our previous one. We are delighted to partner with RBS and RBC on this transaction," said Guy H. Morgan, BlueStar's Chairman and Chief Executive Officer. "In these challenging times, securing this capital represents a strong statement of support for our business model, and we look forward to growing BlueStar's operations by continuing to provide businesses and consumers lower energy prices, better customer service and more choices in the years ahead." Tony Manastersky, Managing Partner of RBC Capital Partners - Mezzanine Fund, said BlueStar represents an ideal client. "Its world class management team has established a leading market position based on offering a high level of customer service and attractive pricing for its customers. We are confident that RBC's investment will help position the Company to continue its path of growth and success." Forrest F. Vollrath, Senior Vice President of Commercial Banking at RBS stated, "We at RBS Citizens/Charter One Bank are quite pleased to provide the capital to support the experienced management team, attractive business model and strong growth opportunities at BlueStar Energy." About BlueStar Energy Services, Inc.
BlueStar Energy Services, Inc. is a retail electricity supplier, currently operating in Illinois, Maryland and Washington, D.C. BlueStar is the fastest-growing energy supplier in the United States and was recently recognized by Inc. Magazine as the 13th fastest-growing company on its annual Inc. 5000 list. BlueStar also offers energy efficiency services through its subsidiary BlueStar Energy Solutions LLC and information technology solutions through its subsidiary Avigent LLC. For more information, please visit http://www.bluestarenergy.com/.
About RBC Royal Bank of Canada (NYSE:RY) and its subsidiaries operate under the master brand name RBC. RBC is one of North America's leading diversified financial services companies and among the largest banks in the world, as measured by market capitalization. RBC provides personal and commercial banking, wealth management services, insurance, corporate and investment banking and transaction processing services on a global basis, through offices in Canada, the U.S. and 52 other countries. RBC Capital Partners is the private equity investment arm of RBC, providing second lien and subordinated debt to leading middle market companies in the United States and Canada. For more information, go to http://www.rbcap.com/.
About Citizens Financial Group, Inc. (RBS) Citizens Financial Group, Inc. ("CFG") is a $160 billion commercial bank holding company. It is headquartered in Providence, R.I., and, through its subsidiaries, has more than 1,600 branches, more than 3,500 ATMs and more than 24,000 employees. Its two bank subsidiaries are RBS Citizens, N.A. and Citizens Bank of Pennsylvania. It is one of the 10 largest commercial banking companies in the United States ranked by assets and deposits. CFG is owned by RBS (The Royal Bank of Scotland Group plc). DATASOURCE: BlueStar Energy Services, Inc.
CONTACT: Donna Claire of BlueStar Energy Services, Inc., +1-312-628-8656, Web Site: http://www.bluestarenergy.com/
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