NXT Capital announced the granting of a USD 20 million loan to 1-800-Radiator & A/C. The Chicago-based financing firm provided senior secured financing to recapitalize the California-based distributor of heating and cooling parts for the automotive aftermarket in North America. NXT served as the Sole Lead Arranger, Sole Bookrunner and Administrative Agent for the deal.

Founded in 1982, 1-800-Radiator & A/C now has more than 200 franchised locations in the US and Canada. Aside from aftermarket automotive parts, it is now also offers fuel delivery products and intends to add more categories to its product line. Executive Vice President Eric Singer said this marks the start of a long term relationship with NXT Capital. "NXT Capital proved to be an excellent partner for us in this deal. Their automotive and franchise experience made them the ideal partner not only to help us complete the transaction, but also to support our long-term growth initiatives," he said.