Bloomberg: NewStar Financial Explores Sale

(RTTNews) - NewStar Financial Inc. (NEWS) is exploring a sale and is working with Credit Suisse Group AG to solicit offers, Bloomberg reported quoting people with knowledge of the matter. Private-equity firms Corsair Capital LLC and Capital Z Partners Management LLC hold about 20 percent each in the specialty lender.

NewStar makes loans to health-care, manufacturing and energy companies. Such lenders charge higher interest rates, making them attractive takeover targets for U.S. banks. CapitalSource Inc. (CSE), such a lender, agreed in July to be sold to PacWest Bancorp (PACW) for $2.3 billion.

NewStar makes loans and leases of $5 million to $20 million to companies with annual sales of $25 million to $500 million. It has offices in nine U.S. cities. The company had assets of $2.28 billion at the end of June.

EverBank Financial Corp. (EVER), BankUnited Inc. (BKU) and TCF Financial Corp. (TCB) may be interested in NewStar.

NEWS closed up nearly 13 percent on Wednesday at $17.76.