Wells Fargo & Company (NYSE: WFC) announced Mary Katherine DuBose as the head of the bank’s secured lending division that includes asset-based lending, equipment finance, supply chain finance, and inventory finance. DuBose reports to Kyle Hranicky, Chief Executive Officer of Wells Fargo Commercial Banking. 

The past few years have seen strong liquidity in the marketplace coupled with unprecedented government support of certain borrowers; increased competition for secured transactions among banks and non-banks; and surprisingly fewer distressed transactions during the pandemic than would have been anticipated. As a result, lenders have not had to focus as much on managing distressed credits and the potential pitfalls and risks that are associated with them. As a few recent cases discussed below show, assertions of lender liability may arise in various contexts to an unsuspecting lender. 

CIT, a division of First Citizens Bank, today announced that its Power and Energy business arranged $88 million in financing for a 173-megawatt stand-alone merchant battery storage facility in Texas.

The borrower, Wolf Tank Storage, is an affiliate of Aypa Power Development, which develops, owns and operates numerous utility-scale energy storage and hybrid renewable energy projects that assist in the decarbonization of the electrical grid. Aypa Power is a portfolio company of Blackstone Inc.

Mark Forrest has joined Gordon Brothers, the global advisory, restructuring and investment firm, as Director, Business Development.

Forrest will expand Gordon Brothers’ integrated service offerings and presence in the Midwest. With over 25 years of experience in corporate finance, capital markets and lending, he will work with private equity, investment banking and asset-based lending professionals in Illinois, Indiana, Iowa, Minnesota, Michigan, Wisconsin and Northern Ohio to identify valuation, disposition and lending opportunities for the firm.

Ares Commercial Finance announced today that it has provided a cross-border, $40 million senior secured credit facility to PlayMonster LLC.  The credit facility consists of an asset based revolving line of credit secured by assets in both the US and UK. Proceeds of the credit facility were used to refinance existing indebtedness and for ongoing working capital to support growth.

Great Rock Capital is pleased to announce the promotion of Jim Clifton to Chief Commercial Officer. Jim will be based in Chicago and is responsible for expanding the firm’s origination efforts and strategic relationships across North America.

With the second half of 2022 underway, it is a good time to evaluate cybersecurity issues and concerns. The cybersecurity front continues to be an area of significant risk for businesses. In this article we will explore recent trends, and specific industries at more risk of attack. For a perspective on the dollar impact, the largest payment in 2021 was a $40 million payment made by an insurance company. For a perspective on number of attacks, there is a cyber-attack every 11 seconds.

The National Cyber Security Alliance estimated that 60% of small businesses fail within six months of an attack. 

Huntington Business Credit acting as Administrative Agent, Bookrunner and Lead Arranger announced it closed a $175,000,000 new credit facility with Second Avenue Capital Partners, LLC on June 27, 2022.  Proceeds of the facility were used to refinance existing indebtedness and provide ongoing growth financing.         

 Encina Lender Finance, LLC (“ELF”) announced today a significant expansion to its executive leadership team designed to bolster the company’s position as a leading nonbank lender finance platform serving both commercial and consumer specialty finance companies in the U.S. and Canada. 

The new hires are: Edward Chang - chief executive officer; Mark Kassis - head of Risk Management, Commercial Vertical; Bill Laird – head of Risk Management, Consumer Vertical and David Mattei – managing director, Funding Strategy.  Additionally, John Thomas was promoted to president and chief operating officer.

Entrepreneur Growth Capital (“EGC”), headquartered in New York City, announced today that Anthony Lavinio has joined the company and has been named President of the organization.  Anthony will focus on growing the business while leading the team in structuring financing solutions to small and lower middle market businesses.

Unless you’re the most junior person in your work environment, everyone should mentor their less-experienced team members.  Helping them learn should be as natural an effort as holding the door for those entering a room behind you.  These efforts will create experienced individuals with broad-based perspectives on how to approach their responsibilities within the secured lending industry.  Leaders within SFNet member organizations generally agree there is a lack of “bench strength” in the secured lending industry.  Greater preponderance of mentoring would tie junior people more to their organizations and to the industry as a whole.

Solifi™, a global fintech software partner for secured finance, announced that Mithu Bhargava joined the company as its first president. In this newly created position on the Solifi executive team, Bhargava brings more than 20 years of operational leadership to drive the delivery of scalable, sustainable, high-performing software-as-a-service (SaaS) products for the secured finance industry.

The bank syndicate supporting the credit facility is comprised of ten participants acting in various capacities, with JPMorgan Chase Bank, N.A. as Administrative Agent, Bank of America, N.A. and Citizens Bank, N.A. as Co-Syndication Agents, Keybank National Association, TD Bank, N.A., BMO Harris Bank, N.A. and Wells Fargo Bank, National Association as Co-Documentation Agents, and J.P. Morgan Chase Bank, N.A., Bank of America, N.A. and Citizens Bank, N.A. as Joint Lead Arrangers and Joint Book Runners.

Ares Commercial Finance announced today that it has provided a senior secured credit facility to Hint, Inc. The credit facility consists of an asset based revolving line of credit. Proceeds of the credit facility were used to refinance existing indebtedness and for ongoing working capital to support growth. 

Welcome to The Secured Lender’s first ever Industry Data Issue. Over the past several years, SFNet has invested heavily in data resources designed to improve planning, provide competitive benchmarking, and attract capital to our industry. Through resources like our groundbreaking Market Sizing and Impact Study, which dimensioned the secured finance ecosystem and will be refreshed this year, to our quarterly and annual data surveys, which continue to grow in participation, to our forward looking Market Pulse Reports, we have made great strides in capturing, analyzing, and predicting industry trends by the numbers.

REV Capital, the leading provider of factoring & cashflow financing in Canada and the United States announces a new Commercial Finance Division along with the appointment of Mark Dubs as President – Eastern Division.

FrontWell Capital Partners Inc. (“FrontWell”) is pleased to announce the closing of a US $10.5 million senior secured credit facility to Belcam Beauty Holdco, LLC (“Belcam Beauty"), a leading manufacturer, developer, and marketer of beauty and grooming products. The facility, comprised of a revolving loan and term loan, will provide working capital liquidity and support Belcam Beauty’s strategic acquisition and growth opportunities.

The Secured Finance Foundation’s Corporate Giving Campaign, created to help prepare the next generation of leaders, provide essential data that drives smart business decisions, and invest in the communities of which our members are a part, will conclude on September 30. 

As the secured finance industry continually grows and evolves, it takes knowledge, effort, and financial support for the Secured Finance Foundation (SFFound) to keep up with these changes and fulfill its mission. The Secured Finance Foundation encourages, facilitates, and supports education, innovation, and charitable works for the betterment of organizations and professionals who deliver and enable secured finance— and for the communities of which they are a part. Since it was founded 31 years ago, the Foundation has raised approximately $9.5 million to date. 

Birch Creek Development LLC ("Birch Creek") and Fundamental Renewables, an established provider of debt financing for renewable energy projects, today announced an agreement in which Fundamental Renewables will increase its existing credit facility with Birch Creek to $250 million.

The Secured Finance Network is excited to launch a new video podcast today, in partnership with respected industry veteran Barry Bobrow, and sponsored by Hilco Global. “Our members continue to seek valued insights on issues critical to their businesses,” said SFNet CEO Rich Gumbrecht. “This new resource will complement existing sources of expert analysis and information SFNet provides to our community in an energizing new format.”