US-based First Citizens Bank and investment firm Sixth Street have launched Sixty-First Commercial Finance, a new platform designed to offer capital equipment financing solutions to middle-market companies.
Managed by First Citizens Institutional Asset Management, the platform is a joint venture (JV) between First Citizens Bank and Sixth Street’s Asset-Based Finance platform.
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The new platform will offer mid-ticket and large-ticket capital equipment financings ranging from $5m to $100m, covering diverse equipment asset types and industries.
Bank of America is structuring and arranging a $300m warehouse finance facility to fund this JV.
First Citizens Bank capital equipment finance head Kevin Ronan said: “With the launch of Sixty-First Commercial Finance, we’re providing the equipment finance industry with market differentiating financing capabilities.
“Our clients now have access to even more attractive financing alternatives with greater flexibility and greater certainty of execution through the combined capabilities of First Citizens Bank and Sixth Street.”
Sixty-First Commercial Finance’s product offerings include tax leases, loans, capital leases, and progress payment financing, the company said.
With the establishment of Sixty-First Commercial Finance, Ryan Berlage will take on the role of managing director, chief credit officer and portfolio manager for the JV. He will lead all underwriting and portfolio-related works in his new role.
In addition to Ronan, First Citizens Bank’s chief underwriting officer Edward Moir has been appointed as officers of First Citizens Institutional Asset Management. They will provide ongoing oversight to Sixty-First Commercial Finance.
