December 18, 2018

North Channel Bank Helps Customer Change Ownership Structure to Pave the Way for New US Life Settlement Investment Strategy

North Channel Bank recently provided significant assistance to a client in implementing a long-term US Life Settlements investment strategy. The necessary change in the ownership structure was actively supported by the bank and it has also helped to compensate exiting shareholders. “With our support, it was possible to establish asset management on a scalable basis that will make it easier in the future to create new investment vehicles for other investors in addition to the structures created for this investor group,” explains Stefan Rensinghoff, Managing Director of North Channel Bank. “It is our commitment as a partner to assist our customers in multiple situations and to develop suitable solutions for them. In this case, we were able to help set up two financings in the lower double-digit millions”.

Core Competence US Life Settlement Financing

The financing of US Life Settlements is one of North Channel Bank’s core businesses. It is one of the few institutions in the world to engage in this market niche. The bank’s range of services covers portfolio acquisition, the payment of regular premiums, leverage and the repayment of existing loan liabilities. Financing is individually tailored to the term and structure of the investment.

In addition to financing, the bank also offers direct investments, investment in a customer loan portfolio, and co-investment in a policy portfolio of the bank. In the last case, the bank always holds at least 50% of the portfolio and therefore has a strong interest in the quality of the asset and its performance.

In combination with its affiliate NorthStar Life Services, LLC, California, North Channel Bank is very well positioned in the market and has an extremely high level of expertise in the segment of US Life Settlements.

North Channel Bank GmbH & Co. KG was founded in 1924 as the privately owned bank Bankhaus Oswald Kruber, located in Berlin. In 2009, a group of North American investors with expertise in the US Life Settlement sector acquired the bank and renamed it North Channel Bank. In the following years the bank developed into one of the leading institutes in US Life Settlement financing. 2013 with the takeover of its affiliate NorthStar Life Services, LLC, Irvine, California the bank gained direct access to and influence on a reliable, experienced and renowned service provider. Today, in addition to financing, the bank also offers investments in US Life Settlements. In the structured finance division the bank focuses in particular on financing in the renewable energies sector, (especially equity interim financing), capital goods financing, and acquisition finance.