Wells Fargo & Co. has announced a deal to acquire Dallas-based EFC Partners LP, a business that provides financing to small and midsize companies. EFC, which does business as Evergreen Funding Corp., focuses on the trucking, staffing and manufacturing industries. Terms of the deal, expected to close before the end of the year, were not disclosed.
Sixteen-year old Evergreen provides accounts receivable purchasing, or financing that is based on a client’s accounts receivables. Evergreen specializes in providing financing to businesses with annual revenues between $500,000 and $60 million; it has an active client list of about 140 customers nationwide, serviced by a team of 16 employees. Last year, Evergreen provided $603 million of capital to its clients.
“Evergreen has longstanding relationships with industry-leading firms and is a recognized provider of financing to firms in Texas and across the nation,” says Martin McKinley, head of Wells Fargo Business Credit, a division of Wells Fargo Bank N.A. “Evergreen expands our reach into important niche markets within the factoring business, cementing Wells Fargo’s position as one of the nation’s leading providers of accounts receivable financing.”