Our Role: Sell-Side Advisor/Broker
Type: Portfolio Sale
Description: Charged-Off Commercial & Consumer Equipment Leases
Runci Group, as exclusive Advisor, assisted a 30+ year old, specialized, New England based FinTech company that provides financial services to businesses that buy, sell and lease equipment in the sale of approximately $62.3MM of charged-off commercial and consumer equipment leases. The Company had sold once previously through another Broker but wasn’t convinced they’d received the broadest distribution or best possible offer for their portfolio. The Company also had issues with subsequent unauthorized resales of its accounts to third parties without proper disclosures. With limited internal resources and ongoing challenges due to COVID, the Company wanted to sell its more recent inventory of charged-off accounts but only if previous results could be significantly improved and the risks associated with resales could be limited.
Runci Group analyzed the company’s current inventory of charged-off accounts and previous sale results and recommended a segment-based marketing strategy to state, regional and national Purchasers based on the unique composition of the portfolio. Runci Group also provided assistance in assembling a Purchase and Sale Agreement to better protect the Company’s interests while allowing for future downstream sales (an important element in buyer pricing). In the end, the Company received more than 25 offers for the portfolio including several national offers and a transaction was closed with a leading provider of receivable management and receivable purchasing.