| Source: ECN Capital Corp.
TORONTO, Nov.  12, 2019  (GLOBE NEWSWIRE) -- ECN Capital Corp. (TSX: ECN) (“ECN Capital” or “the Company”) has rescheduled the venue and date of its previously announced Investor Day from Thursday, January 23, 2020 at the Boca Resort to Tuesday, January 28, 2020 at the Eau Resort in Palm Beach, Florida due to logistical issues. Presentations will be given by management of ECN Capital as well as each of its operating subsidiaries: Service Finance, Triad Financial Services and The Kessler Group. Presentations will begin at 12:30 p.m. Eastern Time. Hotel information and other details to follow. Attendance in person is by invitation only to institutional investors and analysts. If you are interested in attending, please contact John Wimsatt at jwimsatt@ecncapitalcorp.com . About ECN Capital Corp.
With managed and advised assets of US$33 billion, ECN Capital Corp. (TSX: ECN) is a leading provider of prime credit portfolios to more than ninety US financial institutions. ECN Capital originates, manages and advises on prime credit assets offering unsecured and secured consumer portfolio solutions as well as credit card portfolios. These services are offered through three operating businesses: Service Finance, Triad Financial Services and The Kessler Group. Contact

ECN Capital Changes Schedule for 2020 Investor Day to Tuesday January 28, 2020

Startup 365
Posted on
rating with a Stable Outlook for ECN Capital Corporation (TSX: ECN or
“ECN Capital”), based in Toronto, Canada, on Nov. 11, 2017. On May 10,
2018, ECN Capital announced the signing of a definitive agreement to
make a 70% strategic investment in The Kessler Group (“Kessler”), an
advisory and asset management firm focused primarily on the consumer
finance industry, for USD$221.2 million in cash. The remaining 30%
ownership will be held by Howard Kessler, Chairman & Founder, and
Kessler senior management. The transaction is expected to close by the
end of the second quarter of 2018. KBRA believes the Kessler investment is neutral to the rating of ECN as
the transaction is in line with management’s strategic vision, is not
expected to be funded with additional debt, and will not have a material
impact on the firm’s low leverage and strong liquidity profile. The
transaction is expected to be accretive to ECN’s operating performance,
adding incremental annual operating income of approximately $24.5
million (excluding minority interests, based on fiscal-year 2018
estimate). In addition, the transaction further diversifies revenue with
relatively stable fees generated from Kessler’s multi-year contracts and
advisory relationships, while also adding contractual revenue.

KBRA Comments on ECN Capital Corporation’s Strategic Investment in The Kessler Group

Announces Strategic Investment in The Kessler Group
May 10, 2018 16:35
ET | Source: ECN Capital Corp.
TORONTO, May  10, 2018  (GLOBE NEWSWIRE) -- ECN Capital Corp. (TSX: ECN ) (“ECN Capital” or the “Company”) today reported financial results for the three-month period ending March 31, 2018. Readers should note that as of January 1, 2018, the Company changed its presentation and functional currency from Canadian dollars to U.S. dollars. In addition, the sale of the Canadian Commercial & Vendor Finance business that was announced in the fourth quarter and closed January 31, 2018, has been reported as discontinued operations. Consolidated numbers are reported in the Financial Statements. For the three-month period ending March 31, 2018, ECN Capital reported Adjusted Net Income applicable to common shareholders of $6.1 million or $0.02 per share. Excluding the impact of discontinued operations, Adjusted Net Income applicable to common shareholders was $4.9 million or $0.01 per share (basic) versus $8.3 million or $0.02 per share (basic) for the previous three-month period ending December 31, 2017 and $9.2 million or $0.02 per share (basic) for the same period last year. Book Value per Common Share as at March 31, 2018 was $3.58 versus $3.56 as at the end of the previous three-month period and $3.57 for the same period last year. Originations for the three-month period ending March 31, 2018 were $349.2 million versus $249.4 million in the previous three-month period and $31.0 million for the same period last year. Total Earning Assets Owned and Managed as at March 31, 2018 were $4.5 billion, versus $4.4 billion as at December 31, 2017 and $2.4 billion as at March 31, 2017. Net Financial Income, net of interest expense and provision for credit losses, for the three-month period ending March 31, 2018 was $30.9 million versus $24.4 million for the previous three-month period and $21.9 million for the same period last year. Operating Expenses for the three-month period ending March 31, 2018 were $21.8 million versus $13.5 million reported for the previous three-month period ending December 31, 2017 and $9.4 million for the same period last year. Net Income (Loss) for the three-month period ending March 31, 2018 was $3.3 million versus ($8.3) million for the previous three-month period and $214.5 million for the same period last year. “I am very excited about ECN’s progress in the first quarter” said Steven Hudson, CEO of ECN Capital Corp. “Service Finance is performing above expectations, Triad’s first quarter as part of ECN is on target, ECN returned an additional C$115 million to shareholders through April’s SIB, and today we announced the strategic investment in The Kessler Group.”
Dividends Declared
The Company’s Board of Directors has authorized and declared a quarterly dividend of $0.01 per outstanding common share of ECN Capital for the first quarter of 2018. The dividend will be paid on July 13, 2018 to shareholders of record at the close of business on June 29, 2018. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada). The Company’s Board of Directors declared the following dividends on ECN Capital’s preferred shares:
A quarterly dividend of $0.40625 per outstanding Cumulative 5-Year Rate Reset Preferred Share, Series A (TSX:ECN.PR.A) payable on July 3, 2018 to shareholders of record on the close of business on June 18, 2018. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada). A quarterly dividend of $0.390625 per outstanding Cumulative 5-Year Rate Reset Preferred Share, Series C (TSX:ECN.PR.C) payable on July 3, 2018 to shareholders of record on the close of business on June 18, 2018. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada). Webcast
The Company will host an analyst briefing to discuss these results commencing at 5:30 PM (ET) on Thursday May 10, 2018. The call can be accessed as follows:
Webcast

ECN Capital Reports US$0.02 in Adjusted Earnings per Common Share in Q1-2018

The Kessler Group is the market leader in managing, advising and structuring credit card and other consumer portfolios for credit card issuers, banks, credit unions, processors and payment networks
Led by Founder, Chairman and CEO Howard Kessler, The Kessler Group is a one-of-a-kind industry leader that has shaped and transformed the payments industry for more than three decades
KG has a performance fee-based, capital light-model with long-standing clients and long-term annuity contracts
Mr. Kessler will continue to run the company as Chairman and CEO, responsible for driving KG’s business and strategy
ECN’s investment in KG is immediately accretive to EPS and ROE
TORONTO, May  10, 2018  (GLOBE NEWSWIRE) -- ECN Capital Corp. (TSX: ECN ) (“ECN Capital”), one of North America’s leading financial services companies, today announced that it has entered into a definitive agreement to make a strategic investment in The Kessler Group (“Kessler” or “KG”). This investment represents a significant strategic opportunity for ECN to partner with Howard Kessler, his team and KG’s clients. Under the terms of the agreement, ECN Capital will invest US$221.2 million in KG. Mr. Kessler pioneered co-branded credit cards by launching the first affinity card with MBNA and helped build MBNA from its infancy to its sale to Bank of America for US$35B. KG has since expanded beyond its credit card roots and offers a range of services to financial services institutions focused on the consumer finance industry in the US, Canada and Australia. These services include (1) Strategic Advisory: managing, advising and structuring credit card and other consumer portfolios for credit card issuers, banks, credit unions, and payment networks, (2) Portfolio Advisory: portfolio transaction services, (3) Risk-Based Marketing: marketing expertise and funding for consumer financial products, and (4) Multi-Channel Marketing: strategy development, multi-channel marketing analytics and planning services. “I am extremely proud of KG’s accomplishments and our role as a trusted advisor to premier financial institutions,” said Mr. Kessler. “I have spent considerable time and effort to find the right partner to assist in KG’s growth. I believe ECN is that partner.”
“Howard Kessler and his team have built a truly unique business,” said Steven Hudson, CEO of ECN Capital. “With this partnership, ECN completes its strategic repositioning from an asset-based lender to a scalable business service company that provides lending and credit services to US financial institutions.”
“Howard is a visionary entrepreneur who has built an exceptional business,” said Jim Nikopoulos, ECN Capital’s President. “The Kessler Group has shaped the payments landscape for more than three decades and adds a tremendous business services platform to ECN,” added Mr. Nikopoulos. On a pro forma basis, the investment will be immediately accretive to adjusted earnings per share (EPS) and return on equity (ROE). The transaction, which is expected to close in the second quarter of 2018, is subject to customary closing conditions. Transaction Advisors
Macquarie Capital and National Bank of Canada acted as transaction advisors, BMO and CIBC acted as financial advisors. Baker Hostetler LLP and Ropes and Gray acted as legal advisors. Analyst Briefing
The Company will host an analyst briefing to discuss the transaction at 5:30 PM (Eastern Time) on Thursday, May 10, 2018. Investors may access the conference call and presentation slides as outlined below:
 
Non-IFRS Measures
The Company’s audited consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”) and the accounting policies we adopted in accordance with IFRS. In this press release, management has used certain terms, including adjusted EPS, ROE and ROAE, which do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures presented by other organizations. The Company believes that certain Non-IFRS Measures can be useful to investors because they provide a means by which investors can evaluate the Company’s underlying key drivers and operating performance of the business, exclusive of certain adjustments and activities that investors may consider to be unrelated to the underlying economic performance of the business of a given period. 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, 2018 dated March 19, 2018 and ECN Capital’s Annual MD&A for the financial year ended December 31, 2017, 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. Related Articles

ECN Capital Signs Definitive Agreement to Make Strategic Investment in The Kessler Group

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The Kessler Group (KG) announced today the appointment of Scott W. Shaw      as Chief Operating Officer of the company. Effective immediately, he      will be working closely with Founder, Chairman and Chief Executive      Officer Howard J. Kessler in overseeing day-to-day operations of the      business. View the full release here: http://www.businesswire.com/news/home/20160920006597/en/
Scott Shaw, Chief Operating Officer, The Kessler Group (Photo: Business Wire). “As our company and our industry continue to evolve, Scott’s creativity,      relationships, leadership and 25+ years of experience in the financial      services industry will help lead us toward future success,” Mr. Kessler      said. “We look forward to having him drive and expand our dynamic team      of experienced professionals, while working closely with me and the KG      team to provide value to our clients. “KG has been my professional home for over two decades – I remember      helping Howard buy the company in 1993. I cannot think of a more      impactful place to work and will use my longstanding relationships      within the company and with many financial service partners to help      build KG’s business for the next 20 years.”
Mr. Kessler pioneered the concept of the affinity credit card with MBNA      in 1982 and has spent the ensuing decades building businesses focused on      delivering win-win solutions. KG has more than three decades of      experience in workouts, strategic advisory, credit card optimization and      affinity marketing for a wide range of credit card issuers and other      financial services companies. Mr. Shaw holds a degree in biochemistry from the University of New      Hampshire, and currently sits on three Boards including Aliaswire, EData      Networks and Ozumo Concepts International. View source version on businesswire.com: http://www.businesswire.com/news/home/20160920006597/en/
© Business Wire 2016


The Kessler Group : Names Scott W. Shaw as Chief Operating Officer

Fleet Financial Group

Washington Mutual

First National Bank of Omaha

Logica

Kobie Marketing

CMGI

Massachusetts Port Authority

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Fintech

The Kessler Group is a privately-owned financial services firm based in Boston specializing in partnership development, credit card marketing and portfolio acquisitions. The Kessler Group employs its own combination of marketing and transaction expertise to create innovative solutions for its clients in the credit card, consumer finance and insurance industries.

The Kessler Group

ECN Capital

Date	Round	Amount	Investors	Valuation Valuations are submitted by companies, mined from state filings or news, provided by VentureSource, or based on a comparables valuation model.	Revenue	Sources
5/10/2018	Acq - Fin	$221.2M	ECN Capital	$99M	0 FY undefined	2
9/21/2007	Private Equity	$99M	Subscribe to see more		0 FY undefined	0

Date	5/10/2018	9/21/2007
Round	Acq - Fin	Private Equity
Amount	$221.2M	$99M
Investors	ECN Capital	Subscribe to see more
Valuation	$99M
Revenue	0 FY undefined	0 FY undefined
Sources	2	0

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