Elliott Management’s Majority Equity Investment in Channel Partners Capital


Cadwalader advised Elliott Management Corporation on its majority equity investment in Channel Partners Capital, a leading provider of small business loans.

Elliott’s investment also facilitated a recapitalization with a new expandable asset-backed credit facility for Channel.

Channel is a full-service, non-bank, small business lender that delivers loans to small businesses through partnerships with equipment finance companies. Since its founding in 2009, Channel has originated over 7,000 loans generating loan receivables of over $350 million. Last year Channel was ranked among the Inc. 500/5000 fastest-growing private companies in the U.S. by Inc. magazine for the fifth straight year.


Elliott Management Corporation manages two multi-strategy investment funds which combined have approximately $35 billion of assets under management. Its flagship fund, Elliott Associates, L.P., was founded in 1977, making it one of the oldest funds of its kind under continuous management. The Elliott funds’ investors include pension plans, sovereign wealth funds, endowments, foundations, funds-of-funds, high net worth individuals and families, and employees of the firm.

Based in Minnetonka, Minn., Channel Partners Capital (“Channel”) is a leading provider of small business loans utilizing customized technology and business processes. Channel delivers loans to small businesses through partnerships with equipment finance companies, helping these companies provide their customers access to capital needed to grow their businesses.

Since its founding in 2009, Channel has originated over 7,000 loans generating loan receivables of over $350 million. Channel is one of a limited number of full-service, non-bank, small business lenders successfully filling the gap in small business credit availability.

The Cadwalader team was led by Corporate partner Andy Alin (Picture) and Corporate Group co-chair Richard Brand, and included Corporate special counsel Daniel Raglan and associates Timothy Ormsby, Melissa Solomon and Marianna Wonder; Executive Compensation and Employee Benefits partner David Teigman and associate Peter Bariso; Tax Group chair Linda Swartz, Tax partner Jason Schwartz and associate Kara Altman; Capital Markets partner Joseph Beach; Intellectual Property special counsel Howard Wizenfeld and associate Michael Sebba; and Bank Regulatory partner Scott Cammarn and associate Ryan Leverone.

Involved fees earner: Andrew Alin – Cadwalader Wickersham & Taft; Richard Brand – Cadwalader Wickersham & Taft; Daniel Raglan – Cadwalader Wickersham & Taft; Timothy Ormsby – Cadwalader Wickersham & Taft; Melissa Solomon – Cadwalader Wickersham & Taft; Marianna Wonder – Cadwalader Wickersham & Taft; David Teigman – Cadwalader Wickersham & Taft; Peter Bariso – Cadwalader Wickersham & Taft; Linda Swartz – Cadwalader Wickersham & Taft; Jason Schwartz – Cadwalader Wickersham & Taft; Joseph Beach – Cadwalader Wickersham & Taft; Howard Wizenfeld – Cadwalader Wickersham & Taft; Michael Sebba – Cadwalader Wickersham & Taft; Scott Cammarn – Cadwalader Wickersham & Taft; Ryan Leverone – Cadwalader Wickersham & Taft;

Law Firms: Cadwalader Wickersham & Taft;

Clients: Elliott Management;

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Author: Ambrogio Visconti