Daily News: March 11, 2014

NewStar Business Credit Provides Facility to Tool Distributor

NewStar Business Credit, a wholly-owned subsidiary of NewStar Financial, announced that it provided a credit facility totaling $19 million to a tool distribution company. The company imports and wholesales hand tools, power tools and accessories to a variety of major retailers, including Costco, PepBoys and Sam’s Club.

Proceeds will be used to support the company’s working capital and growth needs.

“We continue to focus on meeting the working capital needs of companies like this tool wholesaler in the Western region with creative deal structures that can help accelerate the cash-flow cycle and increase borrowing capacity by leveraging eligible assets,” said NewStar EVP, Milton Iskra.