The SpectraLegal Finance Group is very pleased to announce it has entered into a transaction with Waterfall Asset Management, LLC to provide £100 million in finance for its European legal finance business, with the option to increase to £200 million subject to conditions. Waterfall, along with Bold Rock Management and Investments Limited, a UK based company, have also invested in the ownership of SpectraLegal’s management business.
John Rossos, the Chairman of SpectraLegal’s European management business commented: “Waterfall is an incredibly dynamic and innovative partner. We are very excited to work with them as we look to build the pre-eminent legal finance business in Europe and beyond. We will greatly benefit from the management expertise and experience that our partners bring to our organization.”
According to Steve Carter, the Managing Director of SpectraLegal’s UK business, “This transaction provides SpectraLegal with even greater capacity to create a broader range of innovative financial products and services for our law firm clients. We offer law firms customised financial solutions that allow them to invest in their cases and obtain fair compensation for their legal claims. Our services facilitate access to justice.”
Henrik Malmer, Managing Director at Waterfall, said: “We are delighted about our partnership with SpectraLegal. The legal finance business offers a unique and innovative investment opportunity with the potential to achieve attractive and uncorrelated returns. SpectraLegal, with its experienced management team is well positioned to build out their business in this market segment.”
Established in December 2014, SpectraLegal is the European financing affiliate of BridgePoint Financial Services Inc. It is a leading provider of finance and litigation risk management services for the UK legal services market. SpectraLegal is one of very few businesses globally that has the expertise to both finance and insure legal claims; and is currently developing a pipeline of financing opportunities that will have a transformative impact on the UK legal services market.
Stanhope Capital LLP acted as sole financial adviser to SpectraLegal on the transaction. Nigel Spray of Stanhope commented: “SpectraLegal is extending its market leading heritage in Canada to the UK and is offering an exciting range of financial products. Waterfall is a first-class institution to support SpectraLegal’s development in the UK. SpectraLegal’s funding of legal litigation products offers greater access to justice in a number of areas for claimants (via their law firms). We were delighted to advise on the transaction.”
Waterfall is an SEC-registered investment adviser focused on High Yield Asset Backed Security (ABS) and loan investments. Waterfall was founded in 2005 by Tom Capasse and Jack Ross, two individuals who were early leaders of the ABS industry, and who have 50+ combined years of ABS/Loan trading, banking and servicing experience. Capasse and Ross started the ABS Group at Merrill Lynch in the 1980s and conducted the first ABS issuances for many of the more than 40+ ABS sectors in which Waterfall invests. Waterfall has approximately $7.3 billion in assets under management (as of September 30, 2018).
BRMI is part of a group that was established in 1956 with a specialisation in fields of real estate, private equity, fintech, leisure, and luxury, and operates in many countries around the world. BRMI has a history of advising on international real estate and private equity. Real estate includes residential development, income properties, real estate mortgages. Private equity includes jewellery, and investing in businesses in the fields of leisure, luxury, technology, pharmaceuticals, mining, energy, and fintech.