VANCOUVER, CANADA, March 8, 1999 (PRIMEZONE) -- Onset Capital Corporation, a leading provider of conventional equipment financing in Canada, announced today that it has completed its first sale of lease originations to a special purpose entity structured by CIBC Wood Gundy, the investment banking arm of CIBC. The sale of C$40 Million of Onset's lease originations is the first transaction in a recently completed C$135 Million securitization facility.
Joseph LaLeggia, chief executive officer of Onset Capital commented, "We are pleased to have consummated this credit facility with CIBC Wood Gundy, a Canadian leader in securitization products. Our company has been successful in rapidly expanding its origination channel across Canada and this facility allows us to keep up with our growth requirements."
Mr. Paul Luke, senior vice president and director of finance of T&W said, "We are gratified at the continued success of Onset Capital in the Canadian equipment leasing arena. The establishment of this securitization facility is another important milestone in Onset's long-term growth plans and in T&W's commitment to aggressively capture market share in the growing Canadian asset-based finance industry."
Mr. Thomas Price, president of T&W said, "It's significant that in its first year, the T&W - Onset joint venture was able to complete a $C40 million securitization. The experienced senior management team led by Mr. LaLeggia and T&W's ability to facilitate a securitization structure for Onset is a powerful combination."
Onset Capital Corporation started as a Canadian-based joint venture which includes Accel Financial (Alberta Stock Exchange: AFG), T&W Financial Corporation (Nasdaq: TWFC) and the senior management group headed by Mr. LaLeggia. Through a previously announced amalgamation of a wholly owned Canadian subsidiary of T&W and Accel Financial, scheduled to complete this month, T&W will increase its ownership interest in Onset to 78% with the balance of ownership in the hands of management.
Headquartered in Vancouver, Onset also has regional offices in Toronto and Montreal providing full service to the Ontario, Quebec and Eastern Canada regions, as well as sales and marketing offices in Calgary and Quebec City.
Based in Tacoma, Washington, and founded in 1976, T&W Financial Corporation is a specialty commercial finance company. It provides equipment leasing, focusing primarily on the "small ticket" sector of the market, which are leases less than $250,000. Its customers are small-to medium-sized independent businesses throughout the U.S. and Canada.
This release contains forward-looking statements. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. Readers should not place undue reliance on the forward-looking statements, which reflect the management's view only as of the date hereof. T&W undertakes no obligations to publicly revise these forward-looking statements to reflect subsequent events or circumstances. Readers should also carefully review the risk factors described in documents T&W files from time to time with the Securities and Exchange Commission.
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