SAN DIEGO--(BUSINESS WIRE)--Heritage Global Inc. (Nasdaq: HGBL) (“Heritage Global,” “HGI” or “the Company”), an asset services company specializing in financial and industrial asset transactions, today announced that its financial asset sales division, National Loan Exchange (NLEX), has successfully closed the sale of a $25 million portfolio of BNPL charged-off accounts.
According to Dave Ludwig, President of Heritage Financial Assets, “We believe that BNPL has the potential to achieve sales growth at levels similar to FinTech assets for our NLEX division. The current stay-at-home economy that has resulted from Covid-19 restrictions has produced increased online shopping activity which has driven rapid growth of BNPL sales, and as a result, we are seeing increasing charge-off inventories of these assets in the U.S.
“Debt buyers are already showing significant interest in this new sector, as reflected by the large number of qualified bidders that participated in the process for this sale, as well as the ultimate price accepted,” continued Ludwig. “BNPL, with origins in the EU and Australia, has quickly become a significant purchasing option for online consumers in the U.S., creating increased sales opportunities for merchants. As BNPL volume grows, it makes sense to expect that a certain amount of charge-offs will follow. NLEX is competitively positioned to provide an effective and efficient debt sale process between new BNPL issuers and our group of highly vetted buyers.”
About Heritage Global Inc. (www.heritageglobalinc.com)
Heritage Global Inc. (NASDAQ: HGBL) is an asset services company specializing in financial and industrial asset transactions. The company provides a full suite of services including market making, acquisitions, dispositions, valuations and secured lending. Heritage Global focuses on identifying, valuing, acquiring and monetizing underlying tangible and intangible assets across twenty-eight global sectors. The company acts as an adviser, as well as a principal, acquiring or brokering turnkey manufacturing facilities, surplus industrial machinery and equipment, industrial inventories, accounts receivable portfolios, intellectual property, and entire business enterprises.
This communication includes forward-looking statements based on our current expectations and projections about future events. For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. While the Company believes the forward-looking statements contained in this communication are accurate, these forward-looking statements represent the Company’s beliefs only as of the date of this communication, and there are a number of factors that could cause actual events or results to differ materially from those indicated by such forward-looking statements, including variability in magnitude and timing of asset liquidation transactions, the impact of changes in the U.S. national and global economies, and interest rate and foreign exchange rate sensitivity, as well as other factors beyond the Company’s control. Unless required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements, which speak only as of the date of this release. For more details on factors that could affect these expectations, please see our filings with the Securities and Exchange Commission.