DALLAS–(BUSINESS WIRE)–On December 1st, 2023, Dallas-based Surge Private Equity, LLC closed an investment into Coastal Amusements, Inc., a leading designer, manufacturer, and importer of coin-operated ticket and prize redemption games headquartered in New Jersey. NorthCoast Mezzanine and Minnesota Bank & Trust provided financing to complete the transaction. BakerHostetler and Moss Adams acted as lead counsel and financial diligence advisor, respectively. CoView Capital, a Manhattan-based investment bank, acted as sole advisor to Coastal.
Coastal plays a crucial role in the arcade entertainment industry supplying distributors and operators with highly profitable games, including hits such as Break-The-Plate and Ring Toss. Through this investment, Surge aims to leverage Coastal’s expertise and market position to capitalize on the growing demand for engaging and interactive entertainment experiences. The collaboration will enable Coastal to explore new avenues for growth, develop cutting-edge products, and enhance the overall customer experience in the amusement industry.
“We look forward to this partnership with Coastal to help guide the Company to its next phase of growth. Our extensive industry experience and network provide us with unique insights into the sector,” said Juan Pablo Andrade, Vice President at Surge. “Sal and Lenny, who will remain with the Company, have created an impressive business over the past 35 years, and we are excited to be a part of the continued success.”
About Surge Private Equity
Founded in 2017, Surge is a Dallas-based private equity firm that seeks majority investments in growing businesses with $4MM – $35MM of EBITDA. Together with its lending partners, Surge provides entrepreneurs with liquidity and investors with higher yields and greater accessibility.
About NorthCoast Mezzanine
Founded in 2012, NorthCoast provides subordinated debt and non-control equity co-investments to lower middle-market companies throughout the United States. NorthCoast finances leveraged acquisitions backed by lower middle-market private equity sponsors, management and family-driven ownership transitions, add-on acquisitions, recapitalizations, and growth initiatives.
About Minnesota Bank & Trust
Supported by parent company HTLF, MBT’s unique model leverages technology, efficiency and strength, delivering the best of both worlds: The resources and tools of a large company, combined with local decision-making, unmatched customer service, and in-depth understanding of its customers and communities.
