FHN Financial Expands Commitment to the Municipal Market

Rhea-AI Summary

FHN Financial has announced key hires to expand its capabilities in the Project Finance sector of the municipal market. The firm has recruited Howard Manning as Managing Director and national lead banker for Project Finance transactions, Stan Rosendahl as Executive Director to expand coverage across sectors nationally, and Alana Zimmerman as Executive Director to work as the lead execution banker for the Project Finance team.

These strategic hires aim to enhance FHN Financial's expertise in specialized municipal sectors, particularly in healthcare. The expansion builds upon recent investments in the Midwest and Northeast regions. Ajay Thomas, Senior Managing Director and Head of Public Finance, expressed excitement about the new team members, stating that they will add depth, structuring expertise, and transaction execution capabilities to the public finance business.

FHN Financial Capital Markets, a division of First Horizon Bank, operates 27 offices across the United States, with Municipal Underwriting and Trading Desks in multiple cities and Public Finance offices in 12 locations.

Positive

• Expansion of Project Finance capabilities in the municipal market
• Hiring of experienced industry professionals to strengthen the team
• Enhanced expertise in specialized municipal sectors, particularly healthcare
• Increased coverage across sectors nationally
• Improved transaction execution capabilities

Negative

• None.

Insights

Financial Analyst

FHN Financial's expansion in the municipal market, particularly in Project Finance, is a strategic move that could potentially boost the company's revenue streams. The hiring of experienced professionals like Howard Manning, Stan Rosendahl and Alana Zimmerman brings valuable expertise in specialized areas such as healthcare financing and project finance structuring.

This expansion aligns with the broader trend of financial institutions seeking to diversify their service offerings and capture market share in niche segments. By strengthening its capabilities in project finance and municipal sectors, FHN Financial is positioning itself to better serve issuers with complex financing needs, potentially leading to increased deal flow and fee income.

However, the impact on FHN's overall financial performance may be gradual, as building relationships and securing new business in the municipal market can take time. Investors should monitor future earnings reports for signs of growth in the public finance segment and any mention of significant deals or market share gains resulting from this expansion.

Market Research Analyst

The municipal bond market is a significant sector within the U.S. fixed income landscape, with approximately $4 trillion in outstanding debt. FHN Financial's strategic hires and expanded focus on project finance could position the company to capture a larger slice of this market, particularly in underserved or specialized segments.

The emphasis on healthcare industry expertise is noteworthy, as healthcare remains one of the largest and most active sectors in municipal finance. With an aging population and ongoing healthcare infrastructure needs, this focus could prove lucrative for FHN Financial.

Moreover, the expansion into multiple regions (Midwest, Northeast and existing presence in the South) suggests a national growth strategy. This geographical diversification could help mitigate regional economic risks and provide access to a broader range of municipal issuers and investors.

Investors should watch for FHN Financial's league table rankings in municipal underwriting and any announcements of significant project finance deals in the coming quarters to gauge the success of this expansion strategy.

MEMPHIS, Tenn., Oct. 21, 2024 /PRNewswire/ -- FHN Financial is pleased to announce the Firm's Public Finance Department has made several key hires to expand its capabilities and expertise in the Project Finance sector of the municipal market.  FHN Financial Capital Markets recently hired a recognized team of municipal bankers with specialized expertise servicing most municipal sectors.  These strategic hires build upon the Firm's recent investments in the Midwest and Northeast regions of the country.  New hires include:

• Howard Manning – Howard Manning, Managing Director, is an industry veteran that serves as the Municipal Products Group's national lead banker for Project Finance transactions, an investment banking role that Manning has held previously for D.A. Davidson, Piper Sandler, and Raymond James.  Manning is based in Chicago and will work with bankers across the country to provide specialized services with a focus in the healthcare industry.
• Stan Rosendahl – The Firm has also hired Stan Rosendahl, Executive Director, to expand coverage across sectors nationally.  A veteran specialist, Rosendahl brings new capabilities and acumen to FHN Financial's Public Finance banking team.  Rosendahl will join Manning in Chicago.
• Alana Zimmerman – Also joining FHN Financial's Public Finance department is Alana Zimmerman, Executive Director, who will work closely with FHN Financial's municipal bankers and liaison to the firm's sales team as the lead execution banker for the Firm's Project Finance team.  Zimmerman is based in New York City.

Ajay Thomas, Senior Managing Director and Head of Public Finance, commented, "We are very excited to have Howard, Alana, and Stan join our very capable and talented Public Finance banking team. These strategic hires are complementary to the existing team and align with the long-term vision for Public Finance.  This latest round of hires adds depth, structuring expertise, and transaction execution capabilities to our public finance business that will enable our Firm to service specialized transaction issuers in a segment of the industry that is often left in need of financing options, pricing expertise and investor access." Thomas continued, "We have always excelled at pricing high grade municipal transactions and believe that now with even more specialized expertise, we can offer issuers more innovative solutions to solve financing needs.  I am confident this latest step in our expansion will make FHN Financial an even more formidable solutions provider in the municipal industry."

FHN Financial Capital Markets, headquartered in Memphis, Tennessee, is a division of First Horizon Bank. FHN Financial has 27 offices located across the United States, including Municipal Underwriting and Trading Desks in Memphis, New York, Morristown, and Houston with Public Finance offices in Atlanta, Austin, Charlotte, Chicago, Dallas, Darien (CT), Houston, Memphis, New York City, Scottsdale, Syosset (NY), and Westlake (OH). FHN Financial Capital Markets focuses on issuers and institutional investors through various business lines including public finance, underwriting, sales, and trading of fixed income products, supported by credit and portfolio strategy, economic outlook, and analysis. Information about FHN Financial and its entire offering of products and services can be found at www.fhnfinancial.com.

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SOURCE First Horizon Corporation

FAQ

Who are the key new hires at FHN Financial's Public Finance Department?

FHN Financial has hired Howard Manning as Managing Director and national lead banker for Project Finance transactions, Stan Rosendahl as Executive Director to expand coverage across sectors nationally, and Alana Zimmerman as Executive Director to work as the lead execution banker for the Project Finance team.

What is the focus of FHN Financial's expansion in the municipal market?

FHN Financial is expanding its capabilities and expertise in the Project Finance sector of the municipal market, with a particular focus on specialized services in the healthcare industry.

How many offices does FHN Financial Capital Markets have in the United States?

FHN Financial Capital Markets operates 27 offices across the United States, including Municipal Underwriting and Trading Desks in multiple cities and Public Finance offices in 12 locations.

What is the expected impact of these new hires on FHN Financial's services?

The new hires are expected to add depth, structuring expertise, and transaction execution capabilities to FHN Financial's public finance business, enabling the firm to offer more innovative solutions and better serve specialized transaction issuers.