(November 15 – 13:10 ET) – The CIT Group, Inc. has closed the transaction to acquire all of the outstanding common shares of Newcourt Credit Group Inc., CIT announced today in a prepared statement. On August 5, 1999, the two companies announced that they had entered into an agreement whereby CIT would acquire Newcourt to create the industry’s largest publicly owned commercial finance company.
The acquisition of Newcourt was concluded at the exchange rate of .70 shares of CIT common stock per Newcourt common share. In total, 76,428,304 shares of CIT common stock and 27,577,082 exchangeable shares of CIT Exchangeco Inc. were issued in the acquisition.
The combined Company has over $50 billion in managed assets, revenues in excess of $2.2 billion and approximately 8,000 employees working in 26 countries.
Structured Finance, formerly Newcourt Capital, continues to be headed by David D. McKerroll, Group CEO. This unit offers structured corporate finance products and services to major international clients. It finances the acquisition of capital assets and provides infrastructure financing for the corporate and public sector. Special markets include media and telecommunications, as well as project finance.
In the commercial finance segment, Lawrence A. Marsiello, group CEO, heads CIT’s Commercial Finance Group. Its Commercial Services business unit, the largest factoring organization in the industry, recently announced its acquisition of Heller Financial Corporation’s domestic factoring business. Its Business Credit unit specializes in debtor-in-possession, acquisition and turnaround financing, and refinancings.
In the consumer finance segment, Thomas B. Hallman, group CEO, heads CIT’s Consumer Finance Group. This group offers a range of first and second mortgage loans and home equity lines of credit through mortgage brokers and bankers. This unit also works through dealers and other intermediaries to provide retail financing for the purchase of recreation vehicles, manufactured homes and recreational boat products.
Executive management of CIT includes: Albert R. Gamper, Jr., president and Chief Executive Officer; Joseph A. Pollicino, vice chairman and chief risk officer; Joseph M. Leone, executive vice president and Chief Financial Officer; William M. O’Grady,
executive vice president and Chief Administrative Officer; and Ernest D. Stein, executive vice president and General Counsel.
-IE Staff
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