Advisors to Hana Financial include Jeffer, Mangels, Butler & Mitchell LLP and Starfield & Smith, P.C. as legal counsels, and Houlihan Lokey as financial advisor. Advisors to Patriot on the transaction include Skadden, Arps, Slate, Meagher & Flom LLP, Blank Rome LLP, and Evercore.About Hana Financial, Inc. Founded in 1994 by Sunnie S. Kim, Hana Financial, Inc. is a Los Angeles based non-bank financial services firm specializing in factoring, asset based lending and SBA lending. Since its inception, Hana Financial has had over $20 billion in factoring and loan originations. For more information, visit www.hanafinancial.com or call 213.240.1234. About Patriot National Bancorp, Inc. Patriot National Bancorp, Inc. is the holding company of Patriot Bank N.A., a nationally charted commercial bank, headquartered in Stamford, Connecticut. It operates with 11 full service branches and interactive kiosk locations in Connecticut and New York. Since 1994, Patriot has been serving a growing regional customer base throughout the northeast. While dedication to the communities we represent is central to our mission, Patriot competes in multiple geographies and business sectors supported by its broad technological platform, commercial/consumer loan and deposit product base, and its team of highly seasoned bankers. For more information visit www.bankpatriot.com.
Hana Small Business Lending, Inc. ("Hana SBL"), a wholly owned subsidiary of Hana Financial, Inc. ("Hana Financial"), and Patriot National Bancorp, Inc. ("Patriot" or the "Bancorp") (NASDAQ: PNBK), the parent company of Patriot Bank, N.A. (the "Bank"), announce the signing of a definitive purchase agreement pursuant to which Patriot will acquire Hana Financial's SBA Lending business. Hana SBL is a fully integrated national SBA origination and servicing platform. Its well-respected team has originated nearly $1 billion of SBA 7(a) loans since its inception and has achieved strong and consistent performance. "We are proud of the team we built and the steady results they continue to deliver," stated Sunnie S. Kim, Hana Financial's President and CEO. "It is a highly complementary fit for the team to be integrated into Patriot's growing operations, where they can be further supported." In 2017, Hana SBL was the third most active non-bank SBA lender in the nation by origination volume, and one of the top 35 most active SBA 7(a) lenders among over 3,000 SBA lenders. The transaction includes the sale of approximately $120 million of SBA 7(a) loans and servicing rights relating to a pool of $370 million in loans, and the assumption of two loan securitization vehicles, currently rated "AA+" (Hana SBL Loan Trust 2014) and "A-" (Hana SBL Loan Trust 2016) by Standard and Poor's. The transaction is subject to the satisfactory completion of certain due diligence requirements, purchase price adjustments at closing and the receipt of required governmental and regulatory approvals. Hana Financial's sale of its SBA Lending business is a part of its strategic plan to focus on the firm's factoring and asset based lending businesses. In 2017, Hana Financial was one of the top ten largest factoring service providers in the nation with approximately $1.5 billion in factored volume. Hana Financial plans to continue the growth of its factoring and asset based lending businesses, both organically and inorganically.