Article List

The Voids Created in Asset-Based and Asset- Backed Lending

Credit cycles typically bring about two correlated occurrences – consolidation and credit voids. This last cycle has been no different as several market segments experienced consolidation, which has created unique and unrelated voids in both small-ticket ABL and the asset-backed term space. New firms are emerging to fill the voids as we are about to enter a new cycle of competition and innovation.

Dorel Enters Into New US$450 Million Credit Facility

Dorel Industries Inc. (TSX: DII.B, DII.A) today announced that it and several of its subsidiaries have entered into a new US$450 million senior secured asset based revolving financing with institutional lenders led by Bank of Montreal as lead arranger, administrative agent and sole bookrunner. The new credit facility, which is guaranteed by certain of Dorel’s subsidiaries, will mature two years from the date of the initial advance thereunder and may be extended for additional one-year terms with the consent of the lenders.

Wells Fargo Strategic Capital Expands Healthcare Group with 20-Year Industry Veteran, Emergency Physician

Wells Fargo Strategic Capital, a division of Wells Fargo & Company (NYSE: WFC), announced Dr. Rodney Altman as the newest managing director in its Healthcare Group, effective immediately. Altman, also a part-time physician at Stanford University Medical Center, is based in San Francisco and will work alongside the other members of the Healthcare Group, including John Ryan, Christine Guo, and Robert Rein.

Banc of California, Inc. to Acquire Pacific Mercantile Bancorp, Creating a $9.5 Billion Business Banking Franchise in Southern California

Banc of California, Inc. (NYSE: BANC) (the “Company”, “Banc of California”, “we”, “us” or “our”), the holding company of Banc of California, N.A., and Pacific Mercantile Bancorp (NASDAQ: PMBC) (“Pacific Mercantile”), the holding company of Pacific Mercantile Bank, today announced they have entered into a definitive agreement and plan of merger under which Pacific Mercantile will merge into Banc of California in an all-stock transaction valued at approximately $235 million, or $9.77 per share, based on the closing price for Banc of California’s common stock of $19.54 as of March 22, 2021.

Piper Sandler & Co. acted as financial advisor to Banc of California in the transaction and delivered a fairness opinion to the Board of Directors of Banc of California. Sullivan & Cromwell LLP served as legal counsel to Banc of California. Keefe, Bruyette & Woods, Inc., a Stifel Company, acted as financial advisor to Pacific Mercantile and delivered a fairness opinion to the Board of Directors of Pacific Mercantile. Sheppard, Mullin, Richter & Hampton LLP served as legal counsel to Pacific Mercantile.

Innovation is Key to Survival for Factors

The CEO of TBS Factoring discusses the importance of innovation in factoring and how she applies the lessons of the past to her current role.

Capital One Signs Agreement to Acquire KippsDeSanto & Co.

Capital One has entered into an agreement to acquire KippsDeSanto & Co. a leading investment banking firm focused on serving growth-oriented aerospace/defense, government services and technology companies. Based in Tysons Corner, Va. in the Washington, DC region, KippsDeSanto has a national practice specializing in merger and acquisition advisory services.

CIT Leads $85 Million Financing for 80-Megawatt Pioneer Solar Project in Colorado

The financing was arranged on behalf of project sponsor Idemitsu Renewables (formerly Solar Frontier Americas), a leading solar project developer that has successfully built and sold hundreds of megawatts of utility-scale solar power since 2015. The project will sell power to Intermountain Rural Electric Association (IREA), a nonprofit electric distribution cooperative based in Sedalia, Colorado.

Governor Cuomo Approves New York State Disclosure Law…Compliance Requirements to be Established in Rulemaking

In a Memorandum filed with Senate Bill SB-5470-B, New York State Governor, Andrew Cuomo acknowledged SFNet’s and other’s opposition to the measure noting that “there is no strong consensus as to the best approach in how to compare various products” and stating, “I have secured an agreement with the legislature to make certain technical changes to this bill to better provide clarity…”. The new statute requires non-regulated commercial lenders, including asset-based lenders and factors, that propose to lend $2 million (pending approval by the legislature the threshold is likely to be at least $2 million) or less to New York-based borrowers to make certain uniform disclosures in their proposals including an “estimated” Annual Percentage Rate.

Trinity Capital Inc. Enters into New $300 Million Credit Facility with KeyBank

Trinity Capital Inc. (Nasdaq: TRIN) ("Trinity"), a leading specialty lending company that provides debt, including loans and equipment financing, to growth stage companies backed by technology banks, venture capital and private equity firms, today announced that it has entered into a new $300 million credit facility led by KeyBank N.A. ("Key Bank"). KeyBank is leading the credit facility with a commitment of $75 million, and the facility can accordion to $300 million as additional lenders are added to the lending syndicate, subject to the facility's credit agreement.

Gibraltar Provides $20MM to Sponsor-Backed Seasonal Business

Gibraltar prides itself on its ability to provide companies and their private equity sponsors with flexible financing and maximum liquidity, based on our ability to understand each business’ special situation. This enabled us recently to provide Texas-based Easy Gardener Products, Inc, a $20 million credit facility to help with a restructuring.

Easy Gardener designs, manufactures, and sells a broad range of consumer lawn and garden products. It sells its products under several well-known patented and trademark brands such as WeedBlock, Jobe's, Emerald Edge, Landmaster, Ross, and Jobe’s Organics. Its customer base includes longstanding relationships over a 20- to 30-year period with a robust network of large national home improvement and mass merchant retailers as well as local hardware stores and independent garden centers and nurseries.

Second Avenue Capital Partners Provides $12.5 Million Revolver and Term Loan to Carlisle Etcetera, LLC

Second Avenue Capital Partners, LLC (“SACP”) (www.secondavecp.com), announced today it has provided a $12,500,000 senior secured credit facility to Carlisle Etcetera, LLC (the “Company”), a direct-to-consumer women’s luxury apparel brand.

Citizens Commercial Banking Provides $42 Million Credit Facility to Stoli Group

Citizens Commercial Banking announced today that it is providing a $42 million asset-based credit facility to New York-based Stoli Group USA, an importer, marketer and distributor of Stolichnaya vodkas, along with other spirits and wines in the United States. Citizens is the sole lender.

Forever 21 Files for Bankruptcy

Forever 21 said it received $275 million in financing from its existing lenders with JPMorgan Chase Bank, N.A. as agent, and $75 million in new capital from TPG Sixth Street Partners, and certain of its affiliated funds.

Dan Karas Appointed Executive Vice President at Allied Affiliated Funding

Axiom Bank, N.A., a Maitland-based, leading community bank, recently appointed Dan Karas as EVP of Allied Affiliated Funding, the Bank’s factoring and asset-based lending division. In this role, Karas will be responsible for guiding the division and driving its initiatives toward continuing growth.

Karas’ commercial lending expertise spans nearly four decades with national and regional banks. In his most recent role at a Dallas-based community bank, Karas helped create its commercial finance businesses and expand its commercial lending platforms and grew profitability.

An Interview with Bianca Barredo, Managing Director, Asset Based Lending at MidCap Financial

In this installment of our series of executive interviews, Charlie Perer sits with Bianca Barredo to discuss MidCap Financial’s strategy, leadership, change in the ABL industry and state of the market, among other things.

YoPro Leadership Summit - Economic Panel Discussion Recap

This year’s YoPro Leadership Summit, held virtually August 26-27, 2020 brought together the young professionals of the secured finance industry for opportunities to hear from industry leaders, connect with peers, and to discover together how to find success in the post-COVID environment. This year's theme was "Succeeding in the New Environment."

Panels included an Economic Discussion, focusing on wealth management and personal finance, Standing Out While Working from Home, Lending Through COVID, with an exploration of the changes in credit and legal due diligence during a pandemic, and a Titans Roundtable, consisting of industry leaders discussing career advice and experiences going through the ranks as well as managing their teams during COVID.

New Fortress Energy Announces $800 Million Term Loan Facility

New Fortress Energy LLC (NASDAQ: NFE) ("New Fortress" or the "Company") announced today that it has executed a fully committed $800 million term loan facility (the "Term Loan Facility") provided by certain funds and accounts managed by affiliates of Apollo Global Management, Inc. (together with its consolidated subsidiaries, "Apollo") (NYSE: APO).

Second Avenue Capital Partners Provides $35 Million Facility Supporting the New Sur La Table

Second Avenue Capital Partners, LLC (“SACP”) (www.secondavecp.com) announced it has provided a $35,000,000 senior secured credit facility to a joint venture of Marquee Brands and CSC Generation in support of their newly acquired luxury kitchenware retailer Sur La Table. Proceeds from the transaction are being used to provide additional working capital and support growth.

BDO USA Welcomes David Balderach and Robert Novak to its Business Restructuring Practice

BDO USA, LLP is pleased to announce that David Balderach and Robert Novak recently joined the firm’s business restructuring and turnaround services practice. Balderach, an industry veteran serving the lending and restructuring needs of energy and oilfield services businesses for the past 30 years, has joined BDO’s Houston office. Balderach brings his deep industry experience to BDO to advise companies, lenders and other investors on complex restructuring matters. Novak brings more than 20 years of experience in crisis management, operations improvement and debt restructuring to the firm’s Chicago office.

LBC Credit Partners Supports the Acquisition of My/Mo Mochi Ice Cream

LBC Credit Partners (“LBC”), a leading provider of financing solutions to middle market companies, provided a senior secured credit facility to support the acquisition of My/Mo Mochi Ice Cream (“Company”) by an investment fund managed by Lakeview Capital, Inc. LBC served as agent and sole lead arranger for the senior secured credit facility.

Articles

The Secured Lender