[Colin]

10/31/2019


· Expands Funding Solutions to Small Businesses Through Acquisition of Technology-Driven Working Capital Finance Platform

NEW YORK, Oct. 31, 2019 /PRNewswire/ -- Ready Capital Corporation (NYSE: RC) ("Ready Capital" or the "Company"), a multi-strategy real estate finance company that originates, acquires, finances and services small to medium-sized balance commercial loans, today announced it has acquired Knight Capital LLC ("Knight Capital").

Knight Capital is a leading technology-driven platform that provides working capital to small and medium sized businesses across all 50 states. Through its business funding platform, Knight Capital supports business operations by offering a faster alternative to conventional bank funding. Knight Capital achieves a competitive edge within its industry through the use of proprietary technology to enable more efficient underwriting as well as industry-leading best practices and high customer satisfaction rates.

"The acquisition of Knight Capital expands Ready Capital's product offering to small businesses and does so on a platform that has achieved scale," said Tom Capasse, Ready Capital's Chairman and Chief Executive Officer. "Furthermore, the addition of Knight Capital will allow us to leverage its proprietary technology to further increase the efficiency of Ready Capital's lending platform, enhance our borrowers' experience and expand existing customer acquisition channels."

Ready Capital acquired all of the outstanding membership interests of Knight Capital in exchange for cash and 658,771 shares of Ready Capital common stock issued to the former members of Knight Capital in a private placement transaction.

About Ready Capital

Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services small- to medium-sized balance commercial loans. Ready Capital specializes in loans backed by commercial real estate, including agency multifamily, investor and bridge as well as SBA 7(a) business loans. Headquartered in New York, New York, Ready Capital employs 400 lending professionals nationwide. The Company is externally managed and advised by Waterfall Asset Management, LLC.

Advisors

Keefe, Bruyette & Woods, Inc., A Stifel Company, acted as financial advisor and Alston & Bird LLP acted as legal advisor to Ready Capital in the transaction. Piper Jaffray & Co. acted as financial advisor and Greenberg Traurig, P.A. acted as legal advisor to Knight Capital. ICR, LLC acted as communication advisor.

[Colin]

A high rate (100%+ yields) merchant cash advance company gets sold to a commercial mortgage REIT.......uh, what?!?

Ready Capital is managed by Waterfall...

Waterfall is/has been Knight's senior lender...

This is likely a distressed situation/arranged marriage so Waterfall can try and get their money back

[rhum2016]

A high rate (100%+ yields) merchant cash advance company gets sold to a commercial mortgage REIT.......uh, what?!?

Ready Capital is managed by Waterfall...

Waterfall is/has been Knight's senior lender...

This is likely a distressed situation/arranged marriage so Waterfall can try and get their money back

Why wouldnt the article disclose that Waterfall has been Knights senior lender if its as you say they were?

[Get It Done]

As long as they start answering the phones

[Steven_O]

As long as they start answering the phones

Sounds like they didn't answer Waterfall's collection calls and got themselves repo'd...

[mcaguru]

Sounds like they didn't answer Waterfall's collection calls and got themselves repo'd...

repoed and gifted 8 digits ! ---Hard to believe that theory.

[NoBigDeal]

As long as they start answering the phones

notice the article did NOT point out Knight's stellar Service Dept.

[J.Celifarco]

if what you say is true they wouldn't be talking about stock transfers.. This looks more like Ready Capital saw a good investment and went all in.. I could be wrong, but I dont see how anyone gets paid out if they were being taken over for not making good on their financial obligations

[harvey]

i agree 100% john

[Nunya]

repoed and gifted 8 digits ! ---Hard to believe that theory.

May be hard for those that don't understand the biz.

[Atlas Financial]

all wrong. Knight got a new line from Credit Suisse about a year and a half ago that paid off Waterfall. Their rate went from Libor + 11% down to Libor + 5-6%, which immediately made the company profitable since they are not paying huge interest payments.

this is a book of business and data sale for sure. predictable returns moving forward for Ready Capital.

[Atlas Financial]

waterfall/ready capital obviously have inside information on how the company operates and does business since they technically funded them, so smart move by them.

[freeprocessing]

10/31/2019


· Expands Funding Solutions to Small Businesses Through Acquisition of Technology-Driven Working Capital Finance Platform

NEW YORK, Oct. 31, 2019 /PRNewswire/ -- Ready Capital Corporation (NYSE: RC) ("Ready Capital" or the "Company"), a multi-strategy real estate finance company that originates, acquires, finances and services small to medium-sized balance commercial loans, today announced it has acquired Knight Capital LLC ("Knight Capital").

Knight Capital is a leading technology-driven platform that provides working capital to small and medium sized businesses across all 50 states. Through its business funding platform, Knight Capital supports business operations by offering a faster alternative to conventional bank funding. Knight Capital achieves a competitive edge within its industry through the use of proprietary technology to enable more efficient underwriting as well as industry-leading best practices and high customer satisfaction rates.

"The acquisition of Knight Capital expands Ready Capital's product offering to small businesses and does so on a platform that has achieved scale," said Tom Capasse, Ready Capital's Chairman and Chief Executive Officer. "Furthermore, the addition of Knight Capital will allow us to leverage its proprietary technology to further increase the efficiency of Ready Capital's lending platform, enhance our borrowers' experience and expand existing customer acquisition channels."

Ready Capital acquired all of the outstanding membership interests of Knight Capital in exchange for cash and 658,771 shares of Ready Capital common stock issued to the former members of Knight Capital in a private placement transaction.

About Ready Capital

Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services small- to medium-sized balance commercial loans. Ready Capital specializes in loans backed by commercial real estate, including agency multifamily, investor and bridge as well as SBA 7(a) business loans. Headquartered in New York, New York, Ready Capital employs 400 lending professionals nationwide. The Company is externally managed and advised by Waterfall Asset Management, LLC.

Advisors

Keefe, Bruyette & Woods, Inc., A Stifel Company, acted as financial advisor and Alston & Bird LLP acted as legal advisor to Ready Capital in the transaction. Piper Jaffray & Co. acted as financial advisor and Greenberg Traurig, P.A. acted as legal advisor to Knight Capital. ICR, LLC acted as communication advisor.

Is that why I got an email to sign a new ISO agreement.

[Atlas Financial]

CEO walked away with 10 mil in stock.. can sell at anytime according to docs on Ready Capital website.

Vacation time.

[mcaguru]

also says cash... in the past ive seen press releases that state cash and then in the later filings it showed 9-Digits or at times 6 Digits -- who-knows.... my point is it also stated CASH.

[Atlas Financial]

we shall see once Ready Capital's quarterly filing comes out.

[mcaguru]

we shall see once Ready Capital's quarterly filing comes out.

i've seen public companies in past not disclose these things..

[Sachs]

Short the stock? I made a killing shorting on deck

[mcaguru]

Never short a stock period. with a stock your out at zero shorting the loss is endless.

[HDF]

Never short a stock period. with a stock your out at zero shorting the loss is endless.

Love your consultative approach to securities trading and taking on the intricacies of position taking and hedging strategies and risk management here.

"Never Short" is the "Double-Digit" of "Direct Lender"

[Kevin Henry-Seacoast]

Please leave trading strategies to the capital markets professionals on the forum. Risk-you can’t steal second base with your foot firmly placed on first.

[Michael I]

so the new iso agreement has renewal cm on net ,anything else different i am missing?

[mcaguru]

Sean Confirmed on Debanked
Update 11/7/19 9:05 AM: Ready Capital Corporation confirmed this morning that Knight Capital’s total sale price was $27.8M. $10M was in stock.

Ironically 27M seems like an interesting # in our space... (can it be theye used that # to gauge a value >? i strongly doubt that ... !)..
https://www.crunchbase.com/acquisiti...cker--95c1b32f

[Nunya]

Imagine what the price would have been for a company that answers the phone.

[mcaguru]

Even now they are NOT ?