BOSTON, December 1, 2010 -- NewStar Financial, Inc. (Nasdaq: NEWS), a specialized commercial finance company, announced today that it served as Lead Arranger and Administrative Agent for the senior secured credit facilities in support of Risk Strategies Company's ("RSC") acquisition of Cohn-Reid-O'Neill Insurance Services, Inc. ("CRO"), an insurance brokerage and employee benefits services firm located in Burlingame, CA. RSC, headquartered in Boston, is a national insurance brokerage platform providing insurance and risk management solutions to middle market companies, large corporations and high net worth individuals. The acquisition of CRO expands RSC's presence in the California market, and provides a well-established platform for continued growth in the region.
Michael Christian, Chief Executive Officer of RSC, said, "I was impressed with NewStar's understanding of our business and their responsiveness and flexibility throughout the deal process. The team did a great job executing the transaction and delivered on the terms promised. We are enthusiastic about our relationship with NewStar, a valued partner in RSC's growth strategy."
"NewStar is excited to be backing such an exceptional management team with a proven track record and strong business model, and we look forward to supporting RSC's growth initiatives," said Tom Gillis, Vice President at NewStar. "This deal is a great opportunity to partner with and build a strong relationship with a top-tier management team."
NewStar served as Lead Arranger and Administrative Agent for the senior credit facilities. The deal team for the transaction included Tom Gillis and Rob Milordi.
About NewStar Financial, Inc.:
NewStar Financial (Nasdaq:NEWS) is a specialized commercial finance company focused on meeting the complex financing needs of companies and private investors in the middle markets. The Company specializes in providing a range of senior secured debt financing options to mid-sized companies to fund working capital, growth strategies, acquisitions and recapitalizations, as well as, equipment purchases. NewStar originates loans and leases directly through teams of experienced, senior bankers and marketing officers organized around key industry and market segments. The Company targets hold positions of up to $20 million and will selectively underwrite or arrange larger transactions for syndication to other lenders. NewStar offers asset-based loans through its wholly-owned subsidiary, CORE Business Credit. NewStar is headquartered in Boston MA and has regional offices in Darien CT, Chicago IL, Dallas TX, Los Angeles CA, Atlanta GA, and Houston TX. For more detailed information about our product capabilities, as well as, recent transaction and contact information, please visit our website at www.newstarfin.com.