Newtek enters commitment letter with Goldman for $75 million revolver

By Marisa Wong

Madison, Wis., Nov. 6 - Newtek Business Services, Inc. said its subsidiary, Newtek Small Business Finance, Inc., entered into commitment letter for a new $75 million revolving financing facility with Goldman Sachs Bank USA.

The revolving facility has a four-year term and will enable the company to grow its Small Business Authority 7(a) lending business.

The majority of the proceeds will be used to retire an existing line of credit from Capital One Bank, NA.

Barry Sloane, Newtek's president and chief executive officer, said in a press release, "We are pleased to announce this addition of $75 million to our financing capability, which will support the strategic direction of our lender, enabling us to grow our loan originations and potentially issue larger securitizations going forward."

In a separate press release, the company announced that Newtek Small Business Finance has been selected to service a $400 million portfolio of SBA 7(a) loans for a large institutional client.

Newtek is a direct distributor of business services and financial products to the small- and medium-sized business market.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.