Newtek Business Services Corp. Launches Origination Platform for Non-Conforming C&I Term Loans
May 20 2019 - 9:14AM
Newtek Business Services Corp. (“Newtek” or the “Company”) (Nasdaq:
NEWT), an internally managed business development company ("BDC"),
today announced the launch of Newtek Conventional Lending, a new
platform to provide non-conforming conventional C&I term loans
to U.S. middle-market companies and small businesses. Newtek
Conventional Lending is a 50/50 joint venture between Newtek
Commercial Lending, Inc. a wholly-owned subsidiary of Newtek, and
Conventional Lending TCP Holding, LLC, a wholly-owned, indirect
subsidiary of BlackRock TCP Capital Corp. (NASDAQ:TCPC).
Barry Sloane, Chief Executive Officer of Newtek, said, “We are
excited about the launch of this joint venture, which allows us to
better serve our alliance partners. The program will enable us to
further satisfy client needs through the origination of commercial
business loans to middle-market companies as well as small
businesses in all 50 states. The joint venture will originate
loans up to $15.0 million with 10- to 25-year amortization
schedules and single-digit fixed interest rates. Newtek portfolio
companies will assemble, underwrite, close and service these
non-conforming originations. We believe the joint venture will
benefit the Company’s SBA 7(a) and 504 programs, and will create an
additional opportunity to satisfy the needs of our incoming
referrals. We expect that the joint venture will allow us to
further leverage our business model and, in turn, will benefit our
shareholders. In fact, we believe we could reach
approximately $1.0 billion in funding volume across all of our loan
programs over the next 12 months.”
About Newtek Business Services Corp.
Newtek Business Services Corp., Your Business Solutions
Company®, is an internally managed BDC, which along with its
controlled portfolio companies, provides a wide range of business
services and financial products under the Newtek® brand to the
small- and medium-sized business (“SMB”) market. Since 1999,
Newtek has provided state-of-the-art, cost-efficient products and
services and efficient business strategies to SMB relationships
across all 50 states to help them grow their sales, control their
expenses and reduce their risk.
Newtek’s and its portfolio companies’ products and services
include: Business Lending, SBA Lending Solutions, Electronic
Payment Processing, Technology Solutions (Cloud Computing,
Data Backup, Storage and Retrieval, IT Consulting), eCommerce,
Accounts Receivable Financing & Inventory Financing, Insurance
Solutions, Web Services, and Payroll and Benefits Solutions.
Newtek® and Your Business Solutions Company®,
are registered trademarks of Newtek Business Services Corp.
Note Regarding Forward Looking Statements
This press release contains certain
forward-looking statements. Words such as “believes,” “intends,”
“expects,” “projects,” “anticipates,” “forecasts,” “goal” and
“future” or similar expressions are intended to identify
forward-looking statements. All forward-looking statements involve
a number of risks and uncertainties that could cause actual results
to differ materially from the plans, intentions and expectations
reflected in or suggested by the forward-looking statements. Such
risks and uncertainties include, among others, intensified
competition, operating problems and their impact on revenues and
profit margins, anticipated future business strategies and
financial performance, anticipated future number of customers,
business prospects, legislative developments and similar matters.
Risk factors, cautionary statements and other conditions, which
could cause Newtek’s actual results to differ from management’s
current expectations, are contained in Newtek’s filings with the
Securities and Exchange Commission and available through
http://www.sec.gov/. Newtek cautions you that forward-looking
statements are not guarantees of future performance and that actual
results or developments may differ materially from those projected
or implied in these statements.
SOURCE: Newtek Business Services Corp.
Investor Relations & Public
RelationsContact: Jayne Cavuoto Telephone: (212) 273-8179
/ jcavuoto@newtekone.com
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