Understanding the Highland Capital-RAIT Financial Trust Agreement with James Dondero

At its upcoming 2017 Annual Meeting of Shareholders, RAIT Financial Trust will appoint a new trustee to its Board of Trustees. The new trustee will be someone who has been recommended by Highland Capital Management, which is helmed by 54-year-old portfolio manager James Dondero. This story has received a lot of coverage, and a lot of that has to do with the fact that Dondero is involved. With more than 30 years of experience and success in the credit and equity markets, Dondero is the kind of person who tends to make waves wherever he goes. Learn more about the cooperation agreement that he has reached between Highland Capital and RAIT by reading on below.Before taking a closer look at the aforementioned cooperation agreement, let’s back up a little. To better understand everything, it helps to have some knowledge of the background of not only the companies involved but of James Dondero as well. Dondero was born in Hoboken, New Jersey. He was always a hard-working student, and he attended the University of Virginia during the early 1980s. He graduated from UV’s McIntire School of Commerce in 1984 with high honors and a dual major in finance and accounting. Needless to say, he came away with the educational credentials that he needed to hit the ground running.

In 1984, James Dondero took his first job in the industry as an analyst in the Morgan Guaranty training program. Just a year later, he started on as a corporate bond analyst for American Express. During his time there, he managed around $1 billion in fixed-income funds for the corporation. From 1989 to 1993, Dondero established Protective Life’s subsidiary, GIC, growing it from a startup to a company that was worth more than $2 billion in just five years.Everything really changed for James Dondero in 1993 when he founded Highland Capital Management with Mark Okada. Originally, the alternative asset firm was based in Los Angeles. For a variety of reasons, including tax purposes, the founders relocated the firm to Dallas, Texas, where it has remained ever since. Highland Capital stands out in many ways. Its primary focus is on high-yield and distressed investing. The company really made a name for itself as a pioneer in the CIO, or Collateralized Loan Obligation, market. As a result, James Dondero is closely associated with CIOs and is vastly knowledgeable about them.

In November 2016, Highland Capital disclosed information about its holdings in RAIT Financial Trust to the Securities and Exchange Commission. At that time, the alternative asset firm held around 5.9 percent of the trust’s outstanding common shares, which was equal to nearly 5.3 million shares. RAIT, a national direct lender to owners of commercial real estate, or CRE, offers a full-service CRE lending platform that produces customized lending solutions for its clients. In May, RAIT entered into a cooperation agreement with Highland Capital in an attempt to sort out the issues regarding the Board of Trustees.Because of the cooperation agreement, Highland Capital Management and RAIT Financial Trust will collaborate and work together.

When everything is said and done, two new trustees who have been approved by Highland Capital and James Dondero will join the board. The first one will be appointed after the certification of the vote that occurs at the 2017 Annual Meeting of Shareholders. Within 120 days of the agreement, a second trustee will be appointed and will join the board. Meanwhile, Highland Capital and its affiliates have agreed to vote their shares to support the election of a slate of trustees that has been recommended by RAIT’s board during its annual meeting.While much of James Dondero’s time is spent focusing on Highland Capital and its activities, he is involved with many other organizations as well. A certified management accountant and chartered financial analyst, Dondero serves on the Board of Directors of American Banknote and MGM Studios. He is also the Chairman of the Board of CCS Medical Corporation, NexBank and Cornerstone Healthcare. He and his team at Highland Capital are optimistic about the recent agreement with RAIT. It will be interesting to see what comes out of their collaboration. No matter what happens, you can be sure that James Dondero will handle everything strategically.

Equities First Holdings Experiences Rapid International Growth

Equities First Holdings is known for providing clients with different financing packages from 2002, giving capital against traded publicly marketed stock while engaging clients to cater for their individual and professional targets. EFH offers organizations and people with capital upon their mutual public shares all over the globe. The firm has completed more than 700 trades and oversaw more than $1.4 billion USD in records to the present time. The worldwide association, Equities First Holdings operates in not less than nine countries including the wholly operated auxiliaries Equities First Limited situated based in London, Equities First Holdings Hong Kong Ltd, Equities First Holdings Singapore Ltd and Equities First Holdings within Australia.

The organization works in establishing beneficial alternative crediting solutions for organizations and people with colossal measures of assets who look for non-reason capital. EFH gives securities-based crediting associations on future operational dangers that are related with bonds, stocks & treasuries. Equities First Holdings was started in 2002 with its key headquarters at Indianapolis, Indiana. Another satellite office is situated in New York City.

EFH secured its change in 2013 by joining forces with Meridian Equity Partners, which is a worldwide venture and admonitory association situated in London and Sydney. The organization likewise has opened different working offices in Hong Kong, Singapore, Jakarta & Bangkok. With the objective to build its worldwide administrations, by 2013, the organization had expanded its work force by no less than half.

In like way, EFH extended its base camp at the Market Tower in Indianapolis, amidst 2013, expanding its functions & venture administrations. Its group of specialist is set up to give unfathomable venture management, client operations and related services. Today, Equities First Holdings (EFH) has kept adding to its operations with the firm experiencing brisk development. All the more in this way, EFH appreciates dependable partnership with other companies that include the law firms, leading global and local jurisdictions and biggest world banks.

More visit: https://www.morganlewis.com/news/pr_efhacquiresmeridianequity_25sept14

Madison Street Capital – Results, Customers And Much More

Like many firms believe in management, results always speak for themselves. This means, if a company has produced positive results in terms of production or profit, it will eventually make it into the successful list. But as you look closely, you will realize that results are not everything. Many investment banking firms have various perspectives about how to run a business successfully. Advancement in productivity is just a tip of the iceberg and there are other factors that influence the outcome.

What is also important for a firm’s success is the ability to attract more customers to its site. If a firm is alienating or isolating people as a result of bad performances in the past, whatever the results that the firm achieved don’t count. There is a good point in this. Certain executives become so focused on the work that is in front of them that they miss the real details – the big picture. Investment banking firms, unlike other firms in the finance industry need to understand that for winning the battle it is important to win the clients, not just focus on the revenue. Of course, results matter but focusing solely on results to the detriment of everything else is the wrong thing to do.

Some firms accomplish the “results” that they want to achieve but in the long run hurt customers and focus more on the numbers than the people they are dealing or working with. It is when the customers feel pressured or minimized that the firm will see the real impact of alienating them. Unfortunately, a few of them in their single-mindedness to increase profit ignore other management responsibilities as well. However, there are some investment banking firms that have performed well through their diligent efforts and results and Madison Street Capital is one of them.

Madison Street Capital has a team of professional who are well-trained, skilled and experienced in many aspects of investment and extensive relationships between market and sentiment of investors. It is one of the world’s premier investment banking firms that has emerged successfully from the recent recession. It is also the leading provider of many financial products including mergers, acquisitions and underwriting, advisory services and so on. The team has the ability to finance structures that suit client needs and budget as well. Although headquartered in Chicago, Illinois, Madison Street Capital has offices all over the globe including Asia and Africa. With more than a decade of combined experience in providing a wide range of financial and restructuring services for hedge funds and other investment products, as well as business valuation, corporate advisory services, valuation for financial reporting and opinion service, it is no doubt that this is the firm for investors to rely on.

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New York’s Biggest Private Equity Firm Loses President Stephen Murray

CCMP is one of the longest standing private equity firms in the field, and its name comes from decades of separations and transformation that has lead to its current standing in the finance world. Unfortunately CCMP lost its president and co-founder, Stephen Murray, who was named CEO of CCMP back in 2007. Murray helped branch CCMP out of its parent company JP Morgan Chase in 2006, and from then he dedicated his life to grow his spin out company into the global success is is today. With Murray’s excellent leadership CCMP has a total of $12 billion in assets and is ranked #17 in NYPost as the world’s largest private equity funds.

 

CCMP’s name derives from its multitude of parent companies spanning the last two decades, and when it was founded in 1984 CCMP was known as Chemical Venture Partners. In 1996 Chemical Ventures acquired Chase Manhattan Bank in 1996 and adopted the Chase name and became Chase Chemical Partners. History repeated itself during the 2000 acquisition of JP Morgan & Co which lead to the company once again adopting the inherited name into their current one. JP Morgan Partners kept its name until the platform continued to grow as it integrated organizations in private equity like Manufacturers Hanover, Chase Manhattan, and The Beacon Group.

 

In 2004 the company then known as JP Morgan Chase managed to acquire another company known as Bank One. However Bank One had their own private equity in house which was known as One Equity partners run by Dick Cashin. Eventually Cashin was named the lead private equity when JP Morgan Chase finalized plans to create the spin out company now known as Stephen Murray’s CCMP. Chemical and Chase and JP Morgan Partners morphed into CCMP in honor of its vast history.

 

Stephen Murray CCMP Capital worked for Manufactures Hanover until its acquisition in 1991. He stayed with the ever changing and expanding company, and in 2005 he was named the head of business buyouts of JP Morgan Chase. Along with Cashin he co-founded CCMP and became president of the company a year after its initial launch. Murray had a an Economics degree from Boston University and a masters in business administration from Columbia University. Along with his dedication to the company he helped build Murray served on a number of boards for other companies including Aramark, AMC Entertainment, and Pinnacle foods. Murray believed in charitable work and giving to people who needed an extra boost, and he donated his services to the Make-A-Wish Foundation in New York city as well as The Food Bank of Lower Fairfield Country, and The Columbia Business School. Murray passed away in March of 2015 at his home in Stanford at the age of 51.