Trinity Capital Inc. Launches New Strategic Partnership
Trinity Capital Inc. (NASDAQ: TRIN) has launched a new strategic partnership with Eagle Point Credit Management The partnership involves a new vehicle with a $60 million equity commitment and leverage capabilities, intended to be converted into a private business development company (BDC). Trinity's wholly owned registered investment adviser will advise the vehicle, providing an additional source of capital for lending and generating non-capital intensive fee income.
The vehicle is expected to invest in opportunities originated by Trinity's platform, which spans five verticals: tech lending, equipment finance, life sciences, warehouse lending, and sponsor finance. This partnership follows Trinity's record-breaking funding numbers in the first half of 2024 and aims to fuel further deployment growth.
Trinity Capital Inc. (NASDAQ: TRIN) ha avviato una nuova partnership strategica con Eagle Point Credit Management. La partnership prevede un nuovo veicolo con un impegno patrimoniale di 60 milioni di dollari e capacità di leva, destinato a essere convertito in una società di sviluppo commerciale privata (BDC). L'advisor di investimento registrato interamente posseduto da Trinity fornirà consulenze al veicolo, rappresentando una fonte aggiuntiva di capitale per prestiti e generando reddito da commissioni non intensive in capitale.
Si prevede che il veicolo investa in opportunità originate dalla piattaforma di Trinity, che abbraccia cinque settori: prestiti tecnologici, finanziamento di attrezzature, scienze della vita, prestiti per magazzini e finanziamenti per sponsor. Questa partnership segue i numeri record di finanziamento di Trinity nella prima metà del 2024 e mira a alimentare ulteriore crescita negli investimenti.
Trinity Capital Inc. (NASDAQ: TRIN) ha lanzado una nueva asociación estratégica con Eagle Point Credit Management. La asociación implica un nuevo vehículo con un compromiso de capital de 60 millones de dólares y capacidades de apalancamiento, destinado a ser convertido en una empresa de desarrollo empresarial privada (BDC). El asesor de inversión registrado y de propiedad total de Trinity asesorará al vehículo, proporcionando una fuente adicional de capital para préstamos y generando ingresos por comisiones que no son intensivos en capital.
Se espera que el vehículo invierta en oportunidades generadas por la plataforma de Trinity, que abarca cinco verticales: préstamos tecnológicos, financiamiento de equipos, ciencias de la vida, préstamos para almacenes y financiamiento para patrocinadores. Esta asociación sigue los números récord de financiamiento de Trinity en la primera mitad de 2024 y tiene como objetivo impulsar un mayor crecimiento en la implementación.
트리니티 캐피탈 인크.(NASDAQ: TRIN)가 이글 포인트 크레딧 매니지먼트와 새로운 전략적 파트너십을 시작했습니다. 이 파트너십은 6천만 달러의 자본 약정과 레버리지 능력을 갖춘 새로운 차량을 포함하며, 이는 개인 사업 개발 회사(BDC)로 전환될 예정입니다. 트리니티의 전액 소유된 등록 투자 고문이 이 차량의 자문을 맡아, 대출을 위한 추가 자본원과 자본 집약적이지 않은 수수료 수입을 창출합니다.
이 차량은 트리니티의 플랫폼에서 발생하는 기회에 투자할 것으로 예상되며, 이 플랫폼은 기술 대출, 장비 금융, 생명 과학, 창고 대출 및 스폰서 금융의 다섯 가지 수직으로 구성되어 있습니다. 이 파트너십은 2024년 상반기 트리니티의 기록적인 자금 조달 후속 조치로, 추가적인 투자 성장 촉진을 목표로 합니다.
Trinity Capital Inc. (NASDAQ: TRIN) a lancé un nouveau partenariat stratégique avec Eagle Point Credit Management. Ce partenariat implique un nouveau véhicule avec un engagement en capital de 60 millions de dollars et des capacités de levier, destiné à être converti en une société de développement commercial privée (BDC). Le conseiller en investissement entièrement détenu par Trinity conseillera ce véhicule, fournissant une source de capital supplémentaire pour le financement et générant des revenus de commissions non intensifs en capital.
Le véhicule devrait investir dans des opportunités générées par la plateforme de Trinity, qui couvre cinq secteurs : prêts technologiques, financement d’équipements, sciences de la vie, prêts d’entrepôt et financement de sponsors. Ce partenariat fait suite aux chiffres de financement record de Trinity au premier semestre de 2024 et vise à stimuler une croissance supplémentaire des déploiements.
Trinity Capital Inc. (NASDAQ: TRIN) hat eine neue strategische Partnerschaft mit Eagle Point Credit Management ins Leben gerufen. Die Partnerschaft umfasst ein neues Fahrzeug mit einem Eigenkapitalengagement von 60 Millionen Dollar und Hebelmöglichkeiten, welches in eine private Business Development Company (BDC) umgewandelt werden soll. Der vollständig im Besitz von Trinity befindliche registrierte Anlageberater wird das Fahrzeug beraten und eine zusätzliche Kapitalquelle für Kredite bereitstellen sowie nicht kapitalintensive Gebühreneinnahmen generieren.
Es wird erwartet, dass das Fahrzeug in Gelegenheiten investiert, die von Trinitys Plattform stammen, die fünf Sektoren umfasst: Technologiekredite, Equipment-Finanzierung, Lebenswissenschaften, Lagerkredite und Sponsorenfinanzierung. Diese Partnerschaft folgt auf die Rekordfinanzierungszahlen von Trinity in der ersten Hälfte des Jahres 2024 und zielt darauf ab, weiteres Wachstum bei der Bereitstellung zu fördern.
- New vehicle launched with $60 million equity commitment and leverage capabilities
- Additional source of capital for lending to growth-stage companies
- Generation of non-capital intensive fee income for Trinity
- Potential conversion of the vehicle into a private BDC
- Record-breaking funding numbers in the first half of 2024
- None.
Insights
Trinity Capital Inc.'s new strategic partnership with Eagle Point Credit Management is a significant development for the company and its investors. This partnership introduces a new vehicle with an equity commitment of
The vehicle's ability to use leverage is a important aspect, as it may amplify returns without necessitating additional equity. The long-term plan to convert this vehicle into a private business development company (BDC) is also intriguing. BDCs often offer higher yields and can be an attractive investment, albeit with higher risk. This strategy aligns with Trinity's goal to drive fee income without being capital-intensive, thus increasing overall shareholder value.
From an investor's perspective, this move could signal potential growth in earnings and a more diversified revenue stream. The partnership leverages Eagle Point Credit's investment expertise, which reduces Trinity's operational risk while expanding its market reach. It is essential, however, for investors to monitor how effectively this partnership scales and integrates with Trinity's existing operations.
The creation of a new capital vehicle with Eagle Point Credit not only boosts Trinity's financial capabilities but also demonstrates its proactive approach toward market expansion. The committed
This partnership enhances Trinity's competitive edge in the growth-stage financing market, a segment characterized by high demand and rapid evolution. The vehicle will invest across Trinity's five verticals, showcasing a diversified approach and mitigating concentration risk. Furthermore, the record-breaking funding in the first half of 2024 underlines Trinity's already strong market position and successful track record.
For retail investors, this strategic move could mean increased stability and returns, as the diversified investment approach and leveraging capacity may lead to higher profitability and reduced volatility. However, it’s important for investors to remain mindful of the inherent risks associated with leveraged investments and the competitive dynamics of the growth-stage lending sector.
Trinity's partnership with Eagle Point Credit introduces a new dimension to their tech lending strategies. A significant portion of their investment vehicle will cater to technology-focused companies, a sector marked by rapid innovation and high capital requirements. The alliance leverages Trinity's 16-year track record in tech lending, allowing it to deploy substantial funds effectively.
The ability to use leverage within this new vehicle could significantly scale Trinity's tech financing operations, enabling them to support more startups and scaling companies in the tech sector. This is especially critical as competition intensifies and new technologies demand substantial upfront investment.
For investors, understanding Trinity's approach to tech sector lending – with its focus on leveraging expertise and capital – is key. The partnership could drive higher returns, albeit with the associated risks of the tech sector's volatility. Thus, while the strategic partnership promises growth and diversification, it also necessitates cautious optimism and close monitoring of technological trends and their impact on Trinity’s portfolio.
The vehicle is being capitalized with an equity commitment of
"This new vehicle gives Trinity another source of capital to provide financing solutions to growth-stage companies, while driving fee income to Trinity and increasing value to our shareholders," said Kyle Brown, Chief Executive Officer at Trinity. "We've worked closely with Eagle Point Credit over the past few years and have seen first-hand their thoughtful investment acumen and approach. We're very excited to expand our relationship with this new opportunity."
The vehicle is generally expected to invest ratably in opportunities originated by the Trinity platform, which has a 16-year track record and originations, underwriting, and portfolio management teams across five distinct verticals – tech lending, equipment finance, life sciences, warehouse lending, and sponsor finance. The vehicle will help fuel the deployment trajectory of Trinity, which saw record-breaking funding numbers during the first half of 2024.
"We are thrilled to expand on our partnership with such a strong growth-stage lender," said Thomas P. Majewski, Founder and Managing Partner at Eagle Point Credit. "We have been impressed by Trinity's track record and view the Company as a key player in the growth lending space."
This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities.
About Trinity Capital Inc.
Trinity (Nasdaq: TRIN), an internally managed business development company, is a leading provider of diversified financial solutions to growth stage companies with institutional equity investors. Trinity's investment objective is to generate current income and, to a lesser extent, capital appreciation through investments, including term loans, equipment financings, and equity-related investments. Trinity believes it is one of only a select group of specialty lenders that has the depth of knowledge, experience, and track record in lending to growth stage companies. For more information, please visit the Company's website at www.trinitycap.com.
About Eagle Point Credit Management LLC
Eagle Point Credit, based in
Forward-Looking Statements
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission. Trinity undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.
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SOURCE Trinity Capital Inc.
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