Surge Private Equity Closes Investment into Coastal Amusements

Coastal Amusements, a leading designer and manufacturer of coin-operated ticket and prize redemption games, has received an investment from Surge Private Equity. The investment aims to leverage Coastal's expertise and market position to capitalize on the growing demand for interactive entertainment experiences. Surge Private Equity, along with financing from NorthCoast Mezzanine and Minnesota Bank & Trust, will support Coastal in exploring new avenues for growth and enhancing the overall customer experience in the amusement industry.

Coastal Amusements is a key player in the arcade entertainment industry, supplying distributors and operators with highly profitable games. Their popular titles, such as Break-The-Plate and Ring Toss, have proven to be hits in the market. With Surge Private Equity's investment, Coastal will have the opportunity to further develop cutting-edge products and expand its reach in the industry.

"We are excited about this partnership with Coastal as they enter their next phase of growth. Our experience and network in the sector give us unique insights that will contribute to the company's success," said Juan Pablo Andrade, Vice President at Surge. "Sal and Lenny, the founders of Coastal, have built an impressive business over the past 35 years, and we are thrilled to be part of their continued success."

Surge Private Equity, founded in 2017, specializes in majority investments in growing businesses with $4MM – $35MM of EBITDA. With its lending partners, Surge provides entrepreneurs with liquidity and offers investors the opportunity for higher yields and greater accessibility.

The financing for the investment was provided by NorthCoast Mezzanine, a company that offers subordinated debt and non-control equity co-investments to lower middle-market companies throughout the United States. They finance leveraged acquisitions, management and family-driven ownership transitions, add-on acquisitions, recapitalizations, and growth initiatives.

Minnesota Bank & Trust, supported by its parent company HTLF, played a crucial role in providing the necessary financial support for the investment. Their unique model combines technology, efficiency, and local decision-making to deliver the best of both worlds.

With the collaboration between Surge Private Equity, Coastal Amusements, and their financing partners, Coastal is well-positioned to capitalize on the growing demand for engaging and interactive entertainment experiences. The investment will enable Coastal to further innovate, develop new products, and enhance the overall customer experience in the amusement industry.

In conclusion, Surge Private Equity's investment in Coastal Amusements highlights the growing significance of interactive entertainment experiences. With their expertise and market position, Coastal is poised to take advantage of this trend and further strengthen their presence in the arcade entertainment industry. The collaboration between Surge Private Equity, Coastal Amusements, and their financing partners sets the stage for exciting developments and growth in the amusement industry.