Mitsubishi HC Capital (U.S.A.) Inc. recently surpassed $1.5 billion in lease and finance originations through its Corporate Asset Finance group (CAF). Launched six years ago, CAF has transacted with over 200 new customers and recorded over $4.5 billion in funding since inception.
CAF originates new business through its direct leasing, capital markets and trade finance divisions.
In 2021, CAF closed $250 million of new portfolio volume with assets split between commercial and governmental obligors.
Transactions for commercial obligors involved various assets and industries including technology equipment for several high-growth internet services firms and an industrial conglomerate, material handling equipment for a car manufacturer, medical equipment for a hospital, and specialized printers for a clothing manufacturer.
Government investments were focused primarily technology assets for various federal government agencies.
“Although we routinely fund hard collateral deals, large investments in essential use, specialized assets are another core investment thesis for us,” said Brian Rosa, Managing Director and co-founder of CAF. “We also focus on substantive high-growth technology firms and strategic hospitals with reasonable cash flow prospects.”
Led by Matt Ross, CAF’s Direct Leasing division works with both corporate lessees and OEMs to provide customized lease and loan products on larger, complex transactions to help them meet their annual CAPEX needs and sales solution goals. Customers benefit from CAF’s strong asset management capabilities which allow them to take advantage of flexible terms and competitive rates.
CAF’s Indirect business is very active in the capital markets, having transacted with over 40 different financial partners since inception.
“Quick turnaround and reliable execution are critical for our partners,” said Capital Markets leader Corinne Seton. “We pride ourselves on offering flexibility and creative problem-solving capabilities to the banks, captives, independents and hedge funds with whom we work.”
CAF’s Trade Finance team, headed by Richard Coasby, funded over $1 billion in 2021. The trade finance business has focused mainly on tech, telco and industrial clients, including two sub-investment grade debtor portfolios of over $100 million. Coasby’s team has funded over $3 billion of receivables and payables since 2018, with a broad portfolio of customers in the U.S. and overseas. The trade finance team transacts on both the buy and sell side with a number of large and mid-market financial institutions.
As a commercial finance company, Mitsubishi HC Capital (U.S.A.) Inc. invests in a wide array of equipment types with expertise in soft collateral deals. The company offers a broad range of equipment finance structures, including FMV leasing, usage-based off-balance sheet financing, finance and operating lease and loan purchases, trade finance, third-party residual support and portfolio acquisitions. The trade finance business offers traditional receivables and payables financing as well as bespoke structures to suit clients’ needs.