First Capital Holdings in New York has shed three businesses.
The commercial finance company said in a press release Monday that it sold its traditional factoring business to Sterling Bancorp in Montebello, N.Y., and its recourse factoring operations to Seacoast Banking Corp. of Florida in Stuart. First Capital also sold its asset-based lending business to Ares Commercial Finance, a fund managed by the commercial finance platform of Ares Management.
First Capital did not disclose the pricing of the deals, though the company said it used proceeds from the sales to repay its bank lenders and its term securitization.
The $7.3 billion-asset Sterling said in a separate press release that its deal should boost its bank's core annual factoring volume of $900 million by 25%.
"We like the factoring business, which complements our asset-based lending skill-set, provides relatively high returns and contributes to non-interest income," Jim Peoples, Sterling's chief banking officer, said in the company's release.
SunTrust Robinson Humphrey and McDermott, Will & Emery advised First Capital.