Welcome to Commodore Funding
Commodore Funding Corporation (“Commodore”) was founded in 2002 to carry forward the Commodore tradition and services provided by its “predecessor” company. Commodore primarily offers Advisory, M&A and Private Placement Services to the ISO Intermodal Container market, Maritime Finance and Aviation Finance (including helicopters) areas of the transportation industry.
Commodore’s typical client in aviation finance is an aircraft lessor who has identified a prospective lessee-client and seeks to develop the financing of an aircraft through (preferably) non-recourse debt.
Structuring such transactions often involves the creation of various levels of debt and may also involve the addition of liquidity facilities or various types of credit enhancement or risk management tools. Most clients have complex financing needs and Commodore’s wide range of distribution sources is key to success in this sector. Commodore is currently arranging the sale and financing of three rotable equipment pools for both civilian jet and military/cargo lines.
Maritime, Surface (Rail/Truck) and Shipping Transactions
Transportation asset financings typically are structured in one of two ways:
- As debt, both senior and subordinated, issued to a special purpose corporation; or
- As an equity investment in a vessel supported by a long-term, credit worthy charter to a vessel operator. In this arrangement, operators can borrow directly from major international banks at modest spreads.
Beyond its focus on sectors, Commodore has recently been involved in:
- Solar project finance for major utilities such as the TVA or government military bases
- Structured commercial real estate mortgage refinancings
- Bridge loans between private equity tranche payments to stage 2-3 development companies
- Financing ECA (Export Credit Agency) supported projects
- Creating vendor programs
- Providing Treasury advisory services to a Container lessor (World’s 15th largest), and other transport Asset Manager types
- Sale of end of lease residual portions for cash now
- Transaction structuring advisory services to general equipment lessors
- M&A activity in short line railroads and rail industry support companies
Commodore will act as an advisor and/or private placement agent in these opportunities. Commodore can service the large prestigious ship owners and operators in Europe, the Far East and the U.S. Commodore can help the prospective lessee negotiate purchase of the vessels about to come off their charter.
Further, Commodore can actively serve as a placement agent for middle market owners and operators in the shipping industry. Commodore will syndicate transactions to banks and finance companies throughout Europe and the U.S. that are not currently active in vessel financing. Transactions of late included rail road equipment and chassis financing.