Second Avenue Capital Partners, LLC, announced its formation as a new lending platform specializing in asset-based loans for the broader retail and consumer product industry. Established by SB360 Holdings, Second Avenue is a Schottenstein Affiliate. As such, Second Avenue joins a portfolio consisting of the finest retail and consumer businesses in the United States.
“We’re excited about this new venture,” said Jay Schottenstein, Chairman of SB360 Holdings. “Our deep roots and substantial holdings in retail, and manufacturing give the Second Avenue lending experts insight into the operations of prospective clients. When you factor in our merchant perspective, we’re in a class unlike any other middle market lender.”
Industry executive Chris O’Connor will lead Second Avenue Capital Partners. As President, O’Connor brings more than 25 years of financial service expertise and leads a group of dedicated financial and lending executives. He comes to Second Avenue from Cambridge Trust where he served as Senior Vice President overseeing their asset-based lending vertical. Prior to that, he was a senior executive in several commercial finance and retail lending organizations.
Joining Chris as founding members of Second Avenue are Mark Gallivan, Andrew Prunier, and Michael Sullivan.
Stephen Miller, Co-President of SB360 Holdings said, “This new venture will provide much needed capital to an under-served segment of the retail-consumer marketplace that we understand better than any other lender. We wanted Chris, as he has already demonstrated his leadership by building asset-based lending practices within two financial institutions. We believe he and his team will make Second Avenue the preferred middle market lender within the ABL industry.”
Second Avenue Capital Partners will provide financing solutions for companies in all segments of retail, consumer products, and the broader supply chain. Targeting middle market transactions of $5 million to $35 million, the firm’s affiliations and solid financial foundation are the basis for syndicating larger transactions.
“We believe our ability to tailor financing solutions is a vital resource for clients as they seek the capital necessary to effectuate strategy and achieve financial objectives,” said O’Connor. “Our mission is to find the uniqueness in every transaction that will allow us to go beyond what the rest of the industry can offer. We’re focused on optimizing liquidity in all asset classes.”
Clients will turn to Second Avenue for a wide variety of capital funding needs. The firm will develop financing solutions for working capital, to fund emerging growth opportunities, recapitalizations, seasonal and opportunistic financing, turnarounds, mergers & acquisitions, and debtor-in-possession or emergence financing. Unlike other financing providers, Second Avenue does not require positive cash flow or historical earnings as a basis in their lending criteria. Second Avenue is a combination of fresh thinking and forward vision.
The financing structures offered by Second Avenue will focus primarily on Asset Based Loans (revolving credit facilities), FILO Advances, and Term Loans. The firm will lend on a broad spectrum of eligible collateral assets including Inventory, Accounts Receivable, Machinery & Equipment, Real Estate, and select Consumer Brands.
Second Avenue Capital Partners, LLC’s headquarters are in their Boston offices at 75 Second Avenue in Needham, Massachusetts. The firm also has offices in Los Angeles, as well as operating from Schottenstein affiliate offices in New York and Columbus. For more information, please visit www.secondavecp.com.