The approval percentage for small business loan applications at banks with $10 billion or more in assets plummeted to 15.4% in March, falling from a post-recession high of 28.3% in February 2020, according to the Biz2Credit Small Business Lending Index.
California Bank of Commerce launched a sponsor finance lending division, which will be led by Larry LaCroix as executive vice president. The division will work with private equity firms (including search funds) and direct lenders to provide cash flow-based senior debt financing.
In the third episode of ABF Journal’s COVID-19 focused podcast, Jeffrey A. Wurst said he expects an uptick in bankruptcy filings from mainstream middle market companies and a return to “old fashioned bankruptcy.”
BNP, Banco Santander, Deutsche Bank and JPMorgan provided a €12 billion ($12.96 billion) loan facility agreement to Daimler.
Lendio, a small business loan marketplace, launched an online application for small business owners to access the $349 billion in government funds set aside for the Paycheck Protection Program.
According to a FTI Consulting study, 53% of bank and non-bank lenders in the U.S. market viewed COVID-19 as an event more significant than global financial markets were expecting, and 19% viewed it as capable of triggering a global recession.
CIT Group provided financing for Aria Designs to help it procure millions of advanced N95 surgical masks that will protect medical professionals battling the COVID-19 pandemic.
According to a survey from Haynes and Boone, a majority of oil and gas producers, oilfield services companies, financial institutions, private equity firms and other industry participants expect borrowing bases to decrease by at least 20% in response to the recent freefall in commodity prices.
In the second episode of ABF Journal’s podcast, Brett Hickey, founder and CEO of Star Mountain Capital, outlines how companies with locked revenues and deferred payments are being affected by the COVID-19 pandemic. In addition, he shares why bridge financing is becoming a popular structure in this environment.
U.S. Well Services entered into an amended and restated senior secured term loan credit agreement with CLMG Corp. The term loan provides for a suspension of scheduled principal and interest payments for 24 months.