Tag: Private Credit

The Garrington Edge – Volume 41: Tricolor – When Incentives Overrun Controls

The Garrington Edge – Volume 41: Tricolor – When Incentives Overrun Controls

Tricolor – When Incentives Overrun Controls The bankruptcy of Tricolor Holdings has drawn global attention to subprime auto finance. Tricolor was a Dallas-based used car dealer and subprime auto lender serving borrowers with limited credit history. It operated at the intersection of retail car sales and consumer lending, a model that can blur incentives when sales and underwriting sit under…

The Garrington Edge: Volume 40 – First Brands – When Financing Signals Distress

The Garrington Edge: Volume 40 – First Brands – When Financing Signals Distress

First Brands – When Financing Signals Distress The recent bankruptcies of First Brands Group, a U.S.-based automotive parts manufacturer, and Tri-Color Holdings, a subprime auto lender headquartered in Dallas, have drawn global attention to the private credit and specialty finance markets. Both companies operated in sectors familiar to alternative lenders, and both collapsed amid allegations of irregular financing structures, poor…

The Garrington Edge – Volume 39: When “Boring” Wins: Lessons From Recent Industry Bankruptcies

The Garrington Edge – Volume 39: When “Boring” Wins: Lessons From Recent Industry Bankruptcies

When “Boring” Wins: Lessons From Recent Industry Bankruptcies The recent bankruptcies of Tri-Color and First Brands have caught investors’ attention and sparked questions about the health of certain corners of private credit. Both companies operated in areas that overlap with strategies often used in specialty finance, subprime auto lending, and factoring. On the surface, their collapses could be interpreted as…

The Garrington Edge – Volume 32: Private Credit Myths Investors Still Believe

The Garrington Edge – Volume 32: Private Credit Myths Investors Still Believe

Private Credit Myths Investors Still Believe Even as private credit continues to mature, now a multi-trillion-dollar global asset class, a few myths still linger. They are resilient, sometimes amusing, and occasionally delay investor decisions. At Garrington, we dispel them the same way we underwrite loans, with clarity, discipline, and a quietly confident tone. Myth 1: If It’s Private, It Must…