17 Feb, 2022
EJF Capital loads up on consumer lenders in Q4'21
By David Hayes and Ali Shayan Sikander
Arlington, Va.-based EJF Capital LLC increased its shares in consumer lender OneMain Holdings Inc. by 1,000.7% in the fourth quarter, pushing its investment in the company to $75.5 million and making OneMain its second-largest common stock position at year-end 2021.
The firm's largest new position was a $28.7 million stake in Affirm Holdings Inc., a buy-now, pay-later direct lender.
In all, EJF reported $1.09 billion in common stock investments at the end of December 2021, down from $1.11 billion a quarter earlier, according to the firm's most recent Form 13F filing.
| About this analysis This article is part of a series on large institutional investors active in the U.S. financial sector. All institutional investment managers active in the U.S. with over $100 million in investments in Form 13F securities must file quarterly statements detailing their positions. For an up-to-date summary of EJF Capital LLC's common stock investments, click here or go to EJF Capital's main page on the S&P Capital IQ Pro website and click "Public Holdings Detailed" under "Investments" in the left-hand menu. |
La Jolla, Calif.-based Silvergate Capital Corp. remained EJF's single-largest common stock investment at $95.1 million as of Dec. 31, 2021, even after the firm sold off almost 45% of its stake in the fourth quarter.
In mid-December, Silvergate and EJF announced a new joint investment vehicle that will focus on "early-stage fintech companies, digital currencies and payments, as well as banking and specialty finance technology."
The hedge fund manager also initiated 35 new positions during the fourth quarter that were worth a combined $132.9 million as of Dec. 31. Three of the new investments became top-20 holdings for EJF.
EJF also exited 60 positions in the fourth quarter that were worth a combined $119.5 million at the end of September.
The firm's largest exit was a $13.9 million stake in Ambac Financial Group Inc.
Founded in 2005 by Emanuel Friedman and Neal Wilson, EJF specializes in investments in financial services companies.
