BOCA RATON, Fla., Sept. 21, 2022 (GLOBE NEWSWIRE) — Newtek Business Services Corp. (Nasdaq: NEWT), an internally managed business development company (“BDC”), today announced its future rebranding strategy in anticipation of the acquisition of National Bank of New York City (“NBNYC”). and the “Acquisition”), which is pending regulatory approvals and satisfaction of closing conditions. Upon receipt of pending regulatory approvals and closing of the Acquisition, Newtek expects to change its name to “NewtekOne®and renaming NBNYC, the 59-year-old nationally chartered bank, “Newtek Bank, National Association.”
The rebranding strategy is in line with the company’s three-decade-old philosophy developed by Newtek CEO Barry Sloane in 1995 when he recognized and nurtured the idea of providing a unique set of solutions financial and commercial branding to meet the needs of independent business owners around the world. United States. Since then, Newtek has solidified its position in the market as a one-stop solution for all business needs.® for independent business owners, and now plans to expand this longstanding model as NewtekOne®. As the soon-to-be-renamed NewtekOne, independent business owners will be able to access their deposit features and money-moving capabilities several times a week, as well as develop a partnership with NewtekOne through which they can cultivate business relationships, as well as access advice, consultation, analysis and transactional capacity. Additionally, as part of the rebranding initiative, Newtek will launch several rebranded product lines under the names Newtek Bank, Newtek Technology, Newtek Payments, Newtek Lending, Newtek Payroll and Newtek Insurance. Newtek will also launch its redesigned corporate website at www.newtekone.com to better clarify, integrate and explain its strategy and mission to be the single business partner for all of our customers’ financial and business needs.
Newtek also previously announced that it will launch its dashboard, the Newtek Advantage™, for its depository and non-custodial clients when Newtek Bank opens. The Company views the Newtek Advantage as an asset to its customer base as it will provide its Independent Business Owner customer base with multiple personal management relationships beyond a simple custodial relationship. The Newtek Advantage will allow Newtek customers to easily interact with six unique experts in banking, lending, payment processing, technology, payroll and insurance. These relationship managers will advise and consult with each client on their individual needs and will be available by email, telephone and videoconference. Newtek believes the Newtek Advantage will enable it to increase core retail deposits and provide a significant advantage to its existing and new customers by aligning Newtek with the large demographic of Independent Business Owners who are considered the economic engine of the American economy. According to the US Small Business Administration Office of Advocacy, in 2021, this demographic represented 32.5 million small businesses in the United States, which equates to approximately 99% of all US businesses and 46.8% of all employees. Americans.
Barry Sloane, President, Chairman and Chief Executive Officer, said, “As we patiently await regulatory approval for our pending acquisition of NBNYC, and then complete the acquisition and transform a BDC into a banking portfolio, we are seriously preparing for the repositioning of Newtek. to better serve its Independent Business Owner customer base and increase shareholder value through the rebranding of Newtek Business Services Corp to NewtekOne. By launching the Newtek Advantage™ Dashboard, we will integrate existing technologies such as our patented NewTracker® reference system and Newtek File Vault technology. For more than two decades, Newtek has developed the formidable ability to acquire customers profitably without the use of brokers, business development agents or a sales force, through our patented web recommendation system, NewTracker®. Newtek delivers business and financial solutions by incorporating cutting-edge technology with proprietary people, processes and software. Indeed, Newtek has received a total of over 1.9 million referrals through NewTracker from its third-party alliance partners, receiving approximately 100,000 unique business referrals per quarter and plans to continue to partner with partners. existing and new alliance partners using this fully transparent referral system to onboard new business customers.
Mr. Sloane continued, “Newtek’s rebranding to NewtekOne will be a true representation of the company’s philosophy and what Newtek’s business model has embodied for over two decades. I have repeatedly told the investment community that Newtek is an instant hit and it only took us 20 years to get there. We have owned and operated the multiple business lines of the Newtek brand that successfully serve customers with frictionless people, processes and technology in lending, payments, payroll, insurance and solutions technological; we look forward to bringing together these renowned offerings and leveraging our NewtekOne brand, through Newtek Advantage™. We believe that Newtek will be able to position itself as the bank of the future, but we believe that Newtek Bank will have additional advantages to offer its clientele of independent contractors compared to what is currently offered by the industry in terms of traditional deposit and loan products that lack the benefit of an ongoing relationship to meet the needs of the independent business owner.
Mr. Sloane concluded, “We also look forward to unlocking additional value in the future by partnering with other financial institutions to offer our expertise under their brand. For more details on our rationale and why we believe this is a beneficial direction for the company, we encourage you to visit the Investor Relations section of our corporate website at www. newtekone.com where we posted a presentation dated August 3, 2022, detailing what the company might look like as a bank holding company from a financial perspective, as well as our conference call presentation on the financial results of the second quarter 2022. We could not be more excited about our future under a new financial and operating structure and anticipate the direction of our regulators in the near future.
Newtek Business Services Corp., your business solutions company®, is an internally managed BDC which, together with its controlled holding companies, provides a wide range of business and financial solutions under the Newtek name.® brand to the small and medium-sized enterprise (“SME”) market. Since 1999, Newtek has provided industry-leading, cost-effective products and services and effective business strategies to SMB relationships in all 50 states to help them increase sales, control expenses and reduce risk.
Products and services of Newtek and its portfolio companies include: business loans, SBA loan solutions, electronic payment processing, technology solutions (cloud computing, data backup, storage and recovery, IT consulting) , eCommerce, Accounts Receivable and Inventory Financing, Insurance Solutions, Web Services, and Payroll and Benefits Solutions.
Newtek® and your business solutions company® are registered trademarks of Newtek Business Services Corp.
Note Regarding Forward-Looking Statements
This press release contains certain forward-looking statements. Words such as “believes”, “intends”, “expects”, “plans”, “anticipates”, “plans”, “goal” and “future” or similar expressions are intended to identify forward-looking statements. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the plans, intentions and expectations reflected or implied by the forward-looking statements. These risks and uncertainties include, among other things, our ability to close the pending acquisition of National Bank of New York City (the “Transaction”), obtain the regulatory approvals required for the pending Transaction, the timing of closing of the Transaction, the timing of the Company’s deregulation as a BDC under the 1940 Act, projections regarding or contemplating the pending transaction, the timing of our ability to generate new investment, achieve certain margins and levels of profitability, availability of additional capital and ability to maintain certain debt ratios, increased competition, operational issues and their impact on revenues and profit margins, business strategies and expected future financial performance, expected future number of customers, business prospects, legislative developments and other q similar issues. Risk factors, cautionary statements and other conditions, which could cause Newtek’s actual results to differ from management’s current expectations, are contained in Newtek’s filings with the Securities and Exchange Commission and available at http ://www.sec.gov/. Newtek cautions you that forward-looking statements are not guarantees of future performance and that actual results or developments may differ materially from those projected or implied by such statements.
SOURCE: Newtek Business Services Corp.
Investor Relations and Public Relations
Contact: Jayne Cavuoto
Phone: (212) 273-8179 / [email protected]