Newmark Advises Federal Deposit Insurance Corporation on Sale of $16.6B Loan Portfolio to PNC Bank

October 28, 2024 [ii] 9:00 AM

Newmark Group, Inc. (Nasdaq: NMRK) ("Newmark"), a leading commercial real estate adviser and service provider to large institutional investors, global corporations, and other owners and occupiers, announces it served as the exclusive financial advisor to the Federal Deposit Insurance Corporation ("FDIC") on the sale of a $16.6 billion loan portfolio to PNC Bank (NYSE: PNC). PNC acquired the portfolio, comprised of $9.02 billion in funded loans and $7.58 billion in additional commitments, in an all cash transaction achieving pricing north of 99 cents on the dollar. Newmark Co-Heads of U.S. Capital Markets Doug Harmon and Adam Spies led a dedicated team that advised the FDIC in the transaction.

"This all-cash transaction is a staggering and record-setting accomplishment for all parties involed, made possible by Newmark's ability to navigate the intricacies of this substantial portfolio with unparalleled market knowledge and strategic relationships," said Harmon. "As we further our collaboration with the FDIC, we are committed to delivering exceptional outcomes and driving long-term prosperity."

The portfolio acquired comprises 99 loans provided by Signature Bank - primarily made to support private equity firms in managing liquidity and bridge financing for their investments.

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ending December 31, 2023, Newmark generated revenues of approximately $2.5 billion. As of June 30, 2024, Newmark's company-owned offices, together with its business partners, operate from approximately 170 offices with 7,800 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

Discussion of Forward-Looking Statements about Newmark
Statements in this document regarding Newmark that are not historical facts are "forward-looking statements" that involve risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements. These include statements about the Company's business, results, financial position, liquidity, and outlook, which may constitute forward-looking statements and are subject to the risk that the actual impact may differ, possibly materially, from what is currently expected. Except as required by law, Newmark undertakes no obligation to update any forward-looking statements. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see Newmark's Securities and Exchange Commission filings, including, but not limited to, the risk factors and Special Note on Forward-Looking Information set forth in these filings and any updates to such risk factors and Special Note on Forward-Looking Information contained in subsequent reports on Form 10-K, Form 10-Q or Form 8-K.

[i] The book value of the overall loan portfolio was approximately $60 billion when Newmark was retained as an advisor by the FDIC and approximately $53 billion when the Company began marketing the loans, while the completed transactions had a combined notional value of $39.5 billion. For more information, please see various announcements, press releases, and other information on the FDIC website, including "FDIC Announces Upcoming Sale of the Loan Portfolio from the Former Signature Bank, New York, New York", "SIGF-23 Sale Announcement $18.5 Billion All Cash Loan Sale", "SIGCRE-23 Sale Announcement $33.22 Billion Commercial Real Estate Loan Portfolio", "FDIC Signature Bank Receivership Sells 20 Percent Equity Interest in Entity Holding $9 Billion Rent-Stabilized / Rent-Controlled Multifamily Loans", "FDIC Signature Bridge Bank Receivership Sells Five Percent Equity Interest in Entities Holding $5.8 Billion of Rent-Stabilized / Rent-Controlled Multifamily Loans", and "FDIC Signature Bridge Bank Receivership Sells 20 Percent Equity Interest in Entity Holding $16.8 Billion of Commercial Real Estate Loans".
[ii] Newmark's October 28, 2024 press release is retrospective to the FDIC's published announcement on October 3, 2023.