ORIX Corporation USA Completes Acquisition of NXT Capital Inc.
August 29 2018 - 9:00AM
Business Wire
Two companies join forces and grow their
middle-market lending capabilities
ORIX Corporation USA (ORIX USA) announced today that the
acquisition of NXT Capital Inc. is complete, making NXT Capital a
new subsidiary of ORIX USA. The acquisition combines ORIX USA’s
financial strength with NXT Capital’s proven track record as a
leading provider of structured financing to the U.S. middle
market.
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“NXT Capital is now a strategic part of ORIX USA’s asset
management and middle-market growth engine,” said Hideto Nishitani,
ORIX USA chairman, president and CEO. “We are fortunate to add NXT
Capital to our team, which will bolster our reputation as a hybrid
middle-market lender and asset manager.”
Based in Chicago, NXT Capital will continue to operate out of
its current headquarters, while Robert E. Radway remains in his
role of chairman and CEO. More than 115 NXT Capital employees will
join the 900 employees who are already part of the ORIX USA Group
and who span more than 30 offices across the U.S. and Brazil.
"Our two companies complement each other very well," Radway
said. "ORIX brings further scale and financial strength to NXT
Capital with its larger portfolio of products, services and
international presence. This provides an enhanced platform for NXT
Capital to achieve continued growth and profitability.”
ORIX USA has a long history of providing cash flow-based debt
and equity capital to middle-market companies through its Leveraged
Finance business unit, which underwrites growth financings,
recapitalizations, leveraged buyouts, acquisitions and more. Moving
forward, the Leveraged Finance team will be integrated with NXT
Capital’s Corporate Finance unit, strengthening the company’s
overall middle-market financing capability.
“We’re excited to build upon our expertise with a seasoned
partner like NXT Capital,” Nishitani said.
This acquisition is the latest in a series of transactions for
ORIX USA, which acquired Lancaster Pollard in 2017,
Boston Financial Investment Management in
2016 and RED Capital Group in 2010. The three
companies fall under the ORIX Commercial Mortgage Servicing
umbrella. In 2016, ORIX USA acquired RB Capital, and
in 2010, the company acquired Mariner Investment
Group.
Advisors for ORIX USA on the NXT Capital transaction included
Houlihan Lokey Inc. as financial advisor and Davis Polk &
Wardwell LLP as legal advisor. For NXT Capital, J.P. Morgan
Securities LLC served as exclusive financial advisor and Kramer
Levin Naftalis & Frankel LLP as legal advisor.
For more information, see www.orix.com/nxtcapital.
ORIX Corporation USA (ORIX USA)
Since 1981, ORIX USA has provided innovative capital solutions
that clients need to propel their business to the next level. ORIX
USA and its subsidiaries—Boston Financial Investment Management,
Lancaster Pollard, NXT Capital, Mariner Investment Group, RB
Capital and RED Capital Group—include a team of more than 1,000
employees spanning 30+ offices across the U.S. and Brazil. ORIX USA
and its family of companies have $63 billion of assets under
management, administration and servicing (including more than $10
billion held by the company and its subsidiaries). Its parent
company, ORIX Corporation, is a publicly owned international
financial services company with operations in 38 countries and
regions worldwide. ORIX Corporation is listed on the Tokyo Stock
Exchange (8591) and New York Stock Exchange (IX). For more
information on ORIX USA, visit www.orix.com.
NXT Capital
NXT Capital is a leading provider of structured financing to the
U.S. middle market. Since its formation in 2010, the company has
originated approximately $20 billion in total financing volume
spread over 600+ transactions. With approximately $12 billion of
committed capital at its disposal, NXT Capital provides a full
range of structured financing solutions on a direct basis through
its Corporate Finance and Real Estate Finance groups. NXT
Capital also manages capital for third parties through its asset
management platform and offers investors proprietary access to
primarily first lien senior secured loans that are not broadly
traded or otherwise generally available without a loan origination
platform. Investment offerings include levered and unlevered funds,
separately managed accounts and CLOs. NXT Capital's investor
base includes public and private pension plans, insurance
companies, endowments, foundations and other institutional
investors. NXT Capital Investment Advisers, LLC, an affiliate of
NXT Capital, is registered with the SEC as an investment adviser.
With more than 115 professionals, NXT Capital is based in Chicago
with offices in Atlanta, Dallas, Los Angeles, Nashville, New York
and Phoenix. For more information on NXT Capital, visit
www.nxtcapital.com.
Caution Concerning Forward-Looking Statements:
These documents may contain forward-looking statements about
expected future events and financial results that involve risks and
uncertainties. Such statements are based on our current
expectations and are subject to uncertainties and risks that could
cause actual results that differ materially from those described in
the forward-looking statements. Factors that could cause such a
difference include, but are not limited to, those described under
“Risk Factors” in the Company’s annual report on Form 20-F filed
with the United States Securities and Exchange Commission and under
“(4) Risk Factors” of the “1. Summary of Consolidated Financial
Results” of the “Consolidated Financial Results April 1, 2017 –
March 31, 2018.”
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version on businesswire.com: https://www.businesswire.com/news/home/20180829005158/en/
ORIX Corporation USAAmanda Rider,
972-770-5083arider@marketwave.bizorJeff Smith,
214-237-2301Jeff.smith@orix.comorMegan O’Brien,
312-450-8087megan.obrien@nxtcapital.com
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