Connect Telecommunications Solutions Inc. has successfully closed a minority recapitalization with Main Street Capital Corporation

TORONTO – November 4, 2024 – CCC Investment Banking (“CCC”) announced it acted as exclusive financial advisor to Connect Telecommunications Solutions Inc. (“Connect” or the “Company”) on its minority recapitalization with Main Street Capital Corporation (“Main Street”).

Connect is a leading value-added distributor of fiber management solutions to the Canadian Telecom industry. Main Street is a principal investment firm providing long-term debt and equity capital to middle market companies.

“Connect has found a strategic partner that will play a crucial role in supporting its long-term growth aspirations. Canada is a vast geography experiencing unprecedented levels of population growth; coupled with the ever-growing demand for increased bandwidth from applications such as artificial intelligence, IoT, streaming, cloud computing, among many others, the Company is well positioned to take advantage of the positive industry trends,” says Sunny Mahal, Managing Director at CCC. “The partnership with Damian Burke and his team at Main Street is a perfect match, both in terms of strategic alignment and cultural harmony for the Connect Founders, Tim and Kelly Breadner. We extend our best wishes to them for a prosperous journey ahead.”

“We commend Sunny and the entire CCC team for their unwavering dedication to maximizing shareholder value and identifying the ideal strategic partner for Connect’s future growth trajectory. Sunny’s invaluable guidance and expertise throughout the intricate process were unmatched,” says Connect Founders Tim and Kelly Breadner. “We are excited to commence our partnership with Main Street, as we embark on an exciting new chapter that will elevate Connect to new heights.”

Damian Burke, Managing Director at Main Street commented. “We look forward to partnering with Tim and Kelly and their talented team, as they pursue their growth objectives and continue to deliver the high-quality solutions and service levels their customers have come to expect. I would also like to thank the CCC team for their proficient and solution oriented approach when navigating through some of the more complex transaction issues, and we look forward to working together again on future transactions.”

About CCC

CCC is a leading national, independent investment bank operating out of offices in Toronto and Vancouver. With a distinguished track record spanning over five decades, CCC has consistently delivered expert advice to clients completing divestitures, acquisitions, capital raises, valuations, and other capital decisions. CCC’s approach to advisory is centered around actualizing its clients’ objectives through a blend of industry expertise, tailored solutions, and forward-thinking advice. CCC understands that transactions are complex and require focus and perseverance to achieve exceptional results.

About Connect Telecommunications Solutions

Connect (www.connect-telcom.com) is a leading provider of telecommunication solutions, supplying the Canadian telecommunications industry with a wide range of products. With a focus on innovation and customer satisfaction, Connect is dedicated to providing reliable and efficient solutions to support its customer’s infrastructures.

About Main Street Capital Corporation

Main Street (www.mainstcapital.com) is a principal investment firm that primarily provides customized long-term debt and equity capital solutions to lower middle market companies and debt capital to private companies owned by or in the process of being acquired by a private equity fund. Main Street’s portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in diverse industry sectors. Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides customized “one-stop” debt and equity financing alternatives within its lower middle market investment strategy. Main Street seeks to partner with private equity fund sponsors and primarily invests in secured debt investments in its private loan investment strategy. Main Street’s lower middle market portfolio companies generally have annual revenues between $10 million and $150 million. Main Street’s private loan portfolio companies generally have annual revenues between $25 million and $500 million.

Main Street, through its wholly owned portfolio company MSC Adviser I, LLC (“MSC Adviser”), also maintains an asset management business through which it manages investments for external parties. MSC Adviser is registered as an investment adviser under the Investment Advisers Act of 1940, as amended.