TORONTO, May 31, 2018 (GLOBE NEWSWIRE) -- ECN Capital Corp. (TSX:ECN) (“ECN Capital” or the “Company”), announced today that it has completed its strategic investment in The Kessler Group (“Kessler” or “KG”) on the terms previously announced. 

“I am excited to begin this partnership with ECN Capital,” said KG Founder, Chairman and CEO Howard Kessler. “After spending a significant amount of time considering KG’s next phase, I am convinced that ECN Capital’s shared vision and resources will enable us to pursue new opportunities to further strengthen our business.” 

“We are pleased to welcome our new partners at The Kessler Group,” said Jim Nikopoulos, ECN Capital’s President. “This transaction adds significant capabilities for ECN Capital as we complete our transition from an asset based lender to a leading business services company originating financial products and providing services for more than 90 US financial institutions.”

Steven Hudson, CEO of ECN Capital, said, “In addition to completing this strategic transition, we are pleased to announce the summary details on ECN Capital’s remaining right sizing of capital and operations.” Please refer to our website (www.ecncapitalcorp.com) under the Investor section in the Presentations tab for the presentation titled “Capital and Operations Right-Sizing” (http://ecncapitalcorp.com/wp-content/uploads/2018/05/ECN-Capital-Capital-and-Operations-Right-Sizing-Update.pdf) for more information on this topic.

About ECN Capital Corp.

With total owned and managed assets of more than US$29 billion, ECN Capital Corp. (TSX:ECN) is one of North America's leading financial business services companies. ECN Capital originates, structures and manages financial products and provides advisory services for financial institutions through its three core verticals: Home Improvement, Manufactured Housing and Management & Advisory Services. ECN Capital also operates legacy Rail and Aviation Finance business verticals.

About The Kessler Group

KG is a premier manager, advisor and structuring partner to credit card issuers, banks, credit unions and payment networks. With more than three decades of experience and success partnering with financial institutions, Kessler is a trusted business services provider helping financial institutions achieve their strategic goals.

Contact:

John Wimsatt
Senior Vice President, Corporate Development and Investor Relations
647-649-4634
jwimsatt@ecncapitalcorp.com

Forward-looking Statements

This release includes forward-looking statements regarding ECN Capital and its business. Such statements are based on the current expectations and views of future events of ECN Capital’s management. In some cases, the forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “plan”, “anticipate”, “intend”, “potential”, “estimate”, “believe” or the negative of these terms, or other similar expressions intended to identify forward looking statements. Forward-looking statements in this press release include those relating to investment in the Kessler business, including expected timing for closing of the transaction, obtaining of the necessary regulatory approvals and the timing thereof, and the expected benefits and financial impact of the investment on ECN Capital’s business, the future financial and operating performance of ECN Capital, including the expected impact on ECN Capital’s EPS, ROE and originations, the strategic advantages, business plans and future opportunities of ECN Capital, the wind down of ECN Capital’s Aviation Finance business and the ability of ECN Capital transition to a high return originator, asset manager, and servicer of assets. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting ECN Capital, including risks regarding the equipment finance industry, economic factors, and many other factors beyond the control of ECN Capital. No forward-looking statement can be guaranteed. Forward looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. A discussion of the material risks and assumptions associated with this outlook can be found in ECN Capital’s Annual Information Form for the financial year ended December 31, 2017 dated March 19, 2018 and ECN Capital’s First Quarter 2018 MD&A for the financial quarter ended March 31, 2018, each of which has been filed on SEDAR and can be accessed at www.sedar.com. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and ECN Capital does not undertake any obligation to publicly update or revise any forward looking statement, whether as a result of new information, future events, or otherwise.