The acquisition combines the financial strength and innovative capital solutions of ORIX USA with NXT Capital’s leadership position as a provider of structured financing to the U.S. middle market.
“The acquisition of NXT Capital is one step forward in expanding our product set within our third-party asset management platform and achieving continued growth through strategic relationships,” said Hideto Nishitani, ORIX USA chairman, president and CEO. “The addition of NXT Capital will accelerate our position as a hybrid middle-market lender and asset manager, allowing ORIX USA to expand our participation into larger, more strategic investments and strengthen our competitive advantage as a top-tier provider of capital to middle-market companies and real estate investors.”
“We look forward to partnering with a company that has a track record for innovation and growth,” said Robert E. Radway, NXT Capital chairman and CEO. “All of our stakeholders—including sponsors, asset management clients and our employees—will benefit from ORIX USA’s global platform, leading-edge approach to business development and financial strength.”
NXT Capital will become a subsidiary of ORIX USA, with Radway continuing to serve in his current role. NXT Capital will continue to operate under its existing brand and remain headquartered in Chicago.
The acquisition is expected to close in August 2018, subject to customary closing conditions and regulatory approvals.
Advisors for ORIX USA on the transaction included Houlihan Lokey as financial advisor and Davis Polk & Wardwell as legal advisor. For NXT Capital, J.P. Morgan Securities served as exclusive financial advisor and Kramer Levin Naftalis & Frankel as legal advisor.
Since 1981, ORIX USA has provided innovative capital solutions that clients need to propel their business to the next level.