Category: 2011

NewStar Business Credit: A CORE Acquisition Creates the ‘Newest Star’ in the ABL Firmament

Late last year, NewStar Financial announced it intended to add asset-based lending to its product offerings by acquiring CORE Business Credit, causing something of a positive stir in the commercial finance community. ABF Journal asked NewStar’s chairman and CEO Tim Conway and CORE’s Michael Haddad to discuss the rationale behind the acquisition.

M&A, Capital Markets Update: There’s Improvement for Sure, But We’re Years Away From the Glory Days of High Valuations

In the following article, Tim Stute, managing director and principal at Milestone Advisors, assesses 2010 in terms of merger and acquisition activity in the commercial finance sector. While such activity has increased in the later half of last year, valuations remained low due to lack of competition from banks. In looking forward to 2011, Stute expects steady improvement in M&A activity with modest, yet rising deal values for the near term.

The Skinny on Workouts — Dynamics in Bank Syndicates

To conclude her three-part series intended to de-mystify the workout banker’s motivations, Kristina Anderson of Carl Marks Advisory Group examines some of the dynamics inside senior lender syndicates and how those dynamics affect the syndicate’s ability to respond in workout and default situations. As Anderson notes, distress doesn’t necessarily have to lead to war.