CIT Closes $75 Million Factoring Facility with Consumer Products Wholesaler

Rhea-AI Summary

CIT Commercial Services, a subsidiary of First Citizens Bank, announced the completion of a $75 million factoring facility for a consumer products wholesaler. This facility replaces an existing asset-based lending agreement, providing enhanced liquidity for the client to support operational growth. Tom Fingleton, managing director at CIT, highlighted the tailored financing package developed to meet the client's specific needs, enhancing their working capital flexibility. First Citizens BancShares, Inc. (NASDAQ: FCNCA) is recognized as a top 20 U.S. financial institution with over $100 billion in assets.

Positive

• Completed a $75 million factoring facility, enhancing liquidity for the client.
• Replaced an existing lending facility, indicating improved financial terms.
• Tailored financing solution developed to meet the client's specific needs.

Negative

• None.

NEW YORK, Aug. 11, 2022 /PRNewswire/ -- CIT Commercial Services, a subsidiary of First Citizens Bank, today announced that it has completed a $75 million factoring facility on behalf of a consumer products wholesaler.

CIT worked with the client to arrange a factoring facility to replace an existing asset-based lending facility with another lender. The new factoring facility offers additional liquidity that the client can deploy as needed in maintaining and growing their operations.

"We met with the client to understand their unique requirements and develop an innovative financing package to meet their business needs," said Tom Fingleton, managing director and northeast regional manager for CIT Commercial Services.

"We are pleased that the resulting financing gives our client the necessary flexibility to support their future working capital needs," he added.

CIT Commercial Services is one of the nation's leading providers of working capital financing, credit protection and accounts receivable management to consumer product companies.

About CIT 
CIT is a division of First Citizens Bank, the largest family-controlled bank in the United States, continuing a unique legacy of strength, stability and long-term thinking that has spanned generations. Parent company, First Citizens BancShares, Inc. (NASDAQ: FCNCA) is a top 20 U.S. financial institution with more than $100 billion in assets. The company's commercial banking segment brings a wide array of best-in-class lending, leasing and banking services to middle-market companies and small businesses from coast to coast. First Citizens also operates a nationwide direct bank and a network of more than 600 branches in 22 states, many in high-growth markets. Industry specialists bring a depth of expertise that helps businesses and individuals meet their specific goals at every stage of their financial journey. Discover more at cit.com/firstcitizens.

MEDIA RELATIONS:
Lexa Tutela
212-461-5305
Lexa.Tutela@firstcitizens.com 

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SOURCE CIT, a division of First Citizens Bank

FAQ

What is the recent announcement by First Citizens Bank regarding FCNCA?

CIT Commercial Services announced a $75 million factoring facility completion on behalf of a consumer products wholesaler.

How does the $75 million factoring facility affect the client of FCNCA?

The facility offers additional liquidity that the client can use to maintain and grow their operations.

What are the implications of the new factoring facility for FCNCA investors?

The facility indicates a strategic move to improve the client's financial flexibility, potentially benefiting FCNCA's overall stability.