White Oak Commercial Finance and Hilco Global closed a $192 million senior secured credit facility for Royal Cup Coffee and Tea, comprising a $155 million revolver and a $37 million term loan, according to a company statement.

White Oak Commercial Finance served as sole lead arranger and sole lender on the revolver portion, while Hilco Global acted as administrative agent on the term loan with White Oak as co-lender.

The financing enabled Royal Cup, a portfolio company of Braemont Capital, to acquire Farmer Brothers Coffee Co., which previously traded on NASDAQ under ticker FARM. The facility also provides working capital support for the combined businesses.

The acquisition expands Royal Cup's manufacturing capabilities and route density while strengthening its position in commercial beverage markets. Royal Cup, founded in 1896, manufactures and distributes coffee and tea products throughout the United States, Mexico, Canada and the Caribbean, serving food service, hospitality, convenience, office and specialty coffee markets.

"We're pleased to provide a flexible facility structure that supports Royal Cup's vision of building a national platform," said Mark Allen Smith, managing director of originations at White Oak Commercial Finance.

White Oak Global Advisors and its affiliates have deployed nearly $28 billion since the firm's inception in 2007. Hilco Global operates as a subsidiary of ORIX Corporation USA and provides financial services across retail, commercial, industrial, real estate and manufacturing sectors.