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Commercial Finance Consultants Announces Passing of David Rains, Founder & CEO

David Rains, Founder and CEO of Commercial Finance Consultants, passed away Wednesday following a courageous battle with COVID-19. David was a longtime executive recruiter specializing in the factoring and asset-based lending industries. In addition to his work in the industry, David’s work in prison entrepreneurship was a passion and helped many who had no one else championing their cause. David wrote an inspiring article about the program in the June 2019 issue of The Secured Lender.

In lieu of flowers, the family is requesting donations to the Prison Entrepreneurship Program at the following address:

PO Box 83661
Richardson, TX 75083-6617

“David was highly respected, admired, and loved by all who knew him, and leaves a large legacy in our industry. David was a friend to all and was personally responsible for helping fill many, many positions in our industry. On behalf of the SFNet, we extend our sympathies to David’s wife, Billie, his sister, Debra Wilson - Zukonik, and the entire family.” Stewart Hayes, Managing Director, Wells Fargo Commercial Capital.

CIT Serves as Sole Lead Arranger on $15.9 Million Financing for Medical Office Buildings

CIT Group Inc. (NYSE: CIT) today announced that its Healthcare Finance business served as sole lead arranger on a $15.9 million financing for two medical office buildings in Littleton, Colorado.

The buildings, known as Arapahoe Medical Plaza I and II, are located on the campus of Littleton Adventist Hospital and comprise more than 98,700 square feet of space. The borrower is a venture led by an affiliate of Seavest Healthcare Properties.

CARES Act Paycheck Protection Loan Program: From the Secured Lender Perspective

Editor's Note: SFNet’s Advocacy Committee is prioritizing initiatives to support our bank, non-bank and service provider constituents. A key component of this is analyzing the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was enacted on March 27, for specific opportunities to address the needs of our members and borrowers across asset classes and industries, as the focus now turns to implementation.

Should You Rethink Your Lien Filing Strategy?

By Suzanne Konstance, Boaz Salik, and Archita Bhandari

The effects of the ongoing COVID-19 crisis are being felt in almost every financial sector. While current CARES Act stimulus programs offer strong government support for lending through these programs, these are a short-term opportunity. Overall, institutions that lend money are incurring increasingly higher levels of risk. The most obvious concern surrounds borrower default and lenders are facing the challenge of maximizing recovery on their existing portfolio as default rates are increasing and will continue to increase significantly in the near future. The spike in unemployment recalls how the Great Recession of 2008-09 caused a wave of bankruptcy cases, and it’s nearly certain that we will see an uptick in business and consumer bankruptcy filings. As a result, we see several large lenders continue to increase their credit loss reserves. There are ways to increase recoveries, however, and one is to systematically file UCCs on a portfolio as early as possible.

In Refinitiv LPC Podcast, Lending Lowdown, Host Maria Dikeos and Guest Peter York Discuss the Silicon Valley Bank and Signature Bank Collapse

In less than one week, both Silicon Valley Bank and Signature Bank collapsed over the course of three days. How do these bank failures differ from what the market faced in 2008? What does it mean for the syndicated bank loan market? Host Maria Dikeos talks to Peter B. York, Adjunct Professor at Ohio State University and recently retired Managing Director and Head of large market asset-based loan originations at a major money center bank.

First Citizens BancShares, Inc. and CIT Group Inc. Announce Transformational Partnership to Create a Top-Performing Commercial Bank

First Citizens BancShares, Inc. (NASDAQ: FCNCA) (“First Citizens”), the parent company of First-Citizens Bank & Trust Company, and CIT Group Inc. (NYSE: CIT) (“CIT”), the parent company of CIT Bank, N.A., jointly announced today that they have entered into a definitive agreement under which the companies will combine in an all-stock merger of equals to create the 19th largest bank in the United States based on assets.

It brings together complementary strengths with First Citizens’ low-cost retail deposit franchise and full suite of banking products and CIT’s national commercial lending franchise and strong market positions.

Top 5 Invoice Finance Frauds

Aaron Hughes looks at some of the ways directors might misuse their invoice finance facilities and how lenders can stem any potential losses.

Monroe Capital Closes $454.35 Million Collateralized Loan Obligation Transaction

Monroe Capital LLC (“Monroe”) today announced the closing of a $454.35 million term debt securitization known as Monroe Capital MML CLO IX, LTD. The term financing was Monroe’s fourth CLO completed since March 2018 and is secured by a portfolio of middle market senior secured loans.

The Digital Transformation is Severely Disrupting Retail: The Time for Action is Now

The transformation of retail is creating new and significant challenges for traditional retailers. Antony Karabus, CEO of HRC Advisory, explores those obstacles and offers solutions to help retailers survive – and even thrive — during these tumultuous times.

Northpoint Commercial Finance Expands Product Offering with Launch of Asset Based Lending

Northpoint Commercial Finance (“Northpoint”), a North American diversified financial services company, has broadened its financing solutions to include asset-based lending for U.S.-based middle-market companies. Northpoint is a market leader in inventory financing to manufacturers and dealers across the United States and Canada.

Northpoint will offer senior secured revolving credit lines and term loans ranging in size from $2 million to $20 million to borrowers across a wide range of industries. Industry veteran Robert Wagner, Northpoint General Manager and Head of Asset-Based Lending, will lead a team of seasoned ABL professionals.

Middle-Market Companies Find Opportunity in Food & Beverage Disruption

Capital One executives discuss how innovation in the food & beverage sector are making it an industry lenders don’t want to ignore.

The “New Normal” Roundtable

What challenges have industry executives been up against since the pandemic hit and what kind of future do they envision for the industry? TSL spoke with several SFNet members: Jason Hoefler, managing director/asset-based lending, BMO Harris Bank; Candice Hubert, senior vice president of business development, Republic Business Credit; Mark Polinsky, executive vice president and co-founder of Gateway Trade Funding; Georgia Quenby, partner, Morgan Lewis & Bockius; Stuart Rosenthal of Prestige Capital; and Dan Tortoriello, executive vice president/chief operating officer of North Mill Capital.

Gordon Brothers Welcomes Joe Massaroni as Conrad Lauten Retires

Gordon Brothers, the global advisory, restructuring and investment firm, has named Joe Massaroni as Director, Business Development as Conrad Lauten retires.

Based in Atlanta, Massaroni will lead efforts to develop and maintain strong client relationships across the Southeast. Massaroni joins Gordon Brothers with decades of experience in secured finance. He’s worked at several lending institutions throughout his career and previously served as director and team leader responsible for managing key relationships and more than $4 billion of account commitments.

Managing C&I Risk in a Time of Pandemic

Commercial lenders will face many new and unique challenges over the coming months as the full effects of the coronavirus pandemic are felt throughout the economy. For commercial customers cash flow, liquidity, and credit tightening dramatically across industries is the new normal. In these uncertain times, no segment of the bank commercial portfolio is under as much short- and long-term risk as the commercial and industrial (C&I) line of credit segment.

The Transformative Power of Servant Leadership in Modern Business

Discover how servant leadership is reshaping today’s business world. This article explores the core principles behind this transformative approach, shares real-world examples from top companies, and reveals why prioritizing the growth and well-being of your team can unlock extraordinary results.

Gene Martin_Callodine_ Head Shot_150x150

Interview with Gene Martin, CEO, and Mark Forti, Managing Director, Head of Origination at Callodine Commercial Finance

On November 5, Callodine Group, an asset management firm focused on yield-oriented investment strategies, announced it had entered into a definitive agreement to acquire the loan portfolio and assume the employees and operating costs of Gordon Brothers Finance Company, LLC (GBFC). In connection with the closing of the transaction, GBFC has changed its name to Callodine Commercial Finance (CCF). Led by CEO Gene Martin, and the current investment team, CCF will be the successor firm to Gordon Brothers Finance Company, LLC. Callodine’s acquisition represents approximately $400 million in assets and is being funded in part by new strategic financing from KKR, East Asset Management and Axar Capital Management. BlackRock Capital Investment Corporation (“BCIC”), the most recent majority owner of the business, will also remain a financial partner to CCF. TSL Express' senior editor spoke with Gene Martin and Mark Forti at Callodine Commercial Finance about opportunities in the asset-based lending space and what lies ahead.

Callodine Group Announces Acquisition of Gordon Brothers Finance Company, LLC

- Led by CEO, Gene Martin, and the current investment team, Callodine Commercial Finance will be the successor firm to Gordon Brothers Finance Company, LLC

- Investment strategy is consistent with Callodine’s focus on yield-oriented investment opportunities across the capital markets

Restructuring Professional Gennaday Spivak Joins Clear Thinking Group

Clear Thinking Group LLC announced today that Gennady Spivak has joined the firm as a Managing Director. Mr. Spivak is an accomplished professional with a proven record in bankruptcy and insolvency, financial analysis, forensic accounting, fraud investigation, litigation support and wind down management.

Prior to joining Clear Thinking Group, Mr. Spivak was a Senior Manager in the Corporate Recovery & Litigation Services practice of a major accounting firm where he specialized in the fields of bankruptcy and insolvency, creditors’ rights and litigation support.

Avid Technology Announces Closing of Debt Refinancing Resulting in Expected $10 Million Annual Interest Savings

Avid® (NASDAQ: AVID), a leading technology provider that powers the media and entertainment industry, announced today that it has entered into a new five-year $180 million term loan and $70 million revolving credit facility with JPMorgan Chase Bank, N.A. and a syndicate of banks.

JPMorgan Chase Bank, N.A., Citizens Bank, N.A., PNC Capital Markets LLC, Silicon Valley Bank, and Truist Securities, Inc. served as the Joint Bookrunners and Joint Lead Arrangers for the new credit facility with JPMorgan Chase Bank, N.A. serving as Administrative Agent, and Citizens Bank N.A., PNC Bank, National Association, Silicon Valley Bank, and Truist Bank serving as Co-Syndication Agents.

SFNet Advocacy Alert: CFPB Section 1071 Rule Could Place Burden on Financial Institutions—ACTION REQUIRED

(Editor's Note: A member of SFNet’s Advocacy Committee, Brett Garver of Moritt Hock & Hamroff LLP, has provided this alert pertaining to CFPB Section 1071, which could prove to be unduly burdensome to the vast majority of small and mid-sized finance companies that provide credit to small businesses. If you have any questions or comments, please contact Michele Ocejo at mocejo@sfnet.com.)

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