Crossroads Impact Corp Announces $180 Million Equity Investment from Funds Managed by P10 and Conversant Capital and Expanded Relationship with Enhanced Capital Group to Accelerate Growth

The company is also finalizing new $150 million credit facility, ensuring sufficient capital to deploy in existing and new verticals

Enhanced Capital Group and Crossroads to focus relationship on credit investments in climate finance, impact real estate and small business lending to underserved communities

Increased step of scaling sets to assess possible listing

DALLAS, July 11, 2022 /PRNewswire/ — Crossroads Impact Corp (OTCQX: CRSS), the parent company of leading Community Development Financial Institution (CDFI) and Certified B Corp, Capital Plus Financial, announced the expansion of its strategic relationship with Enhanced Capital Group LLC (“ECG”), the impact investment solution of P10, Inc. (NYSE: PX) and a new strategic investment from Conversant Capital LLC (“Conversant”).

(PRNewsfoto/Crossroads Impact Corp)

Investment funds managed by P10 and managed by Conversant invest together $180 million of Crossroads’ equity to $10.76 per share, with the possibility of committing up to $310 million of total equity at the same price in the next 120 days. This expanded relationship will increase the scope of capital deployment, previously established through a late 2021 advisory agreement, for Enhanced Capital to issue loans on behalf of Crossroads that positively impact communities across the United States by enriching their economic vitality. Specifically, Crossroads plans to increase its capital allocation to key ECG verticals of climate finance, real estate impact, and small business lending to underserved businesses.

Carrefour is finalizing a new $150 million credit facility led by Texas Capital Bank (“Texas Capital”), which is priced attractively at BSBY + 300 basis points. This facility builds on the existing relationship with Texas Capital, a bank dedicated to providing capital to underserved areas.

With the combination of fresh equity and attractively priced debt capital, Crossroads believes it is well positioned to continue its large ECG impact lending portfolio, which is already approaching $500 million, and should offer shareholders an attractive return on equity. Additionally, the additional scale will allow Crossroads to better position Crossroads to explore a public going public on a national stock exchange, where the company believes its proven track record of positive impact and strong credit performance would present a differentiated value proposition and attractive to ESG-conscious investors.

“Prioritizing underserved communities and disadvantaged populations is at the heart of what we do,” said Eric DonnellyCEO of Crossroads Impact Corp. “Crossroads is grateful to have incredible partners like P10, Enhanced and Conversant who have brought transformative capital and a proven track record of impact to a platform that will positively affect the lives of thousands of people.”

“We are excited to expand our partnership with Crossroads to provide access to much needed capital to underserved communities to catalyze growth and positive impact,” said Michael Korengold, President and CEO of Enhanced Capital Group. “Our shared mission to inspire community development is the primary driver of this program and has been the foundation of Enhanced Capital since its inception. Enhanced Capital looks forward to creating additional economic vitality and strengthening community development across the country with Carrefour on an even larger scale. “

Michael SimanovskyFounder and Managing Partner of Conversant, said, “In today’s market environment, impact-focused specialty finance companies with deep industry experience, proven business models and scalability, such as Crossroads, have an incredible opportunity ahead of them to deploy capital We are proud to partner with Crossroads and Enhanced to seize this opportunity and build the leading impact-focused specialty finance company in the United States, which we believe , will bring value to our investors. , shareholders of Crossroads and P10, and underserved communities across the country. »

“This partnership offers clear benefits to all stakeholders by providing additional capital for Crossroads to deploy in socially beneficial and financially attractive investments and accelerate its growth into a specialized financing platform focused on large-scale impact. scale,” said clark webb, co-CEO of P10. “Importantly, this also represents a new, permanent capital vehicle for P10, and we are grateful to investors for entrusting us with the deployment of capital on behalf of a unique, socially and environmentally beneficial enterprise.”

About Crossroads Impact Corp:
Crossroads Impact Corp (OTCQX: CRSS), Crossroads Impact Corp’s mission is to promote economic vitality through community development and equitable access to capital; harness the power of good to address systemic issues within underserved communities. Building on our history of serving minority people and small businesses through responsible and environmental social lending, we seek to be the leader in providing innovative and sustainable lending solutions.

For more information about Crossroads Impact Corp, please visit www.crossroads.com

About Enhanced Capital Group, LLC:
Enhanced Capital Group, LLC is a leading impact investment firm with over 20 years of experience investing in small business lending, impact real estate and climate finance.

Since its creation in 1999 until December 31, 2021including own assets and assets managed by affiliates, Enhanced Capital has raised a total of $4.8 billion. Of total assets under management, impact assets represent $2.6 billion invested in more than 700 projects and companies in 38 states, washington d.c.and Porto Rico and does not include investments made by non-impact affiliates.

For more information on Enhanced Capital, please visit www.enhancedcapital.com

About P10:
P10 is a leading provider of multi-asset class private markets solutions in the alternative asset management industry. P10’s mission is to provide its investors with differentiated access to a wide range of investment solutions that meet their diverse investment needs within private markets. As of March 31, 2022, P10 has a global investor base of more than 2,500 investors in 49 states, 53 countries and six continents, which includes some of the largest pension funds, endowments, foundations, retirement plans companies and financial institutions in the world. For more information on P10, please visit www.p10alts.com

About Conversant Capital
Conversant Capital LLC is a private investment advisor founded in 2020. The firm pursues credit and equity investments in the real estate, digital infrastructure and hospitality sectors in both public and private markets. Further information is available at www.conversantcap.com.

Forward-looking statements
Certain of the statements in this release may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. such as ” will”, “expect”, “believe”, “estimate”, “continue”, “anticipate”, “intend”, “plan” and similar expressions are intended to identify such forward-looking statements. Forward-looking statements address management’s current expectations and projections regarding P10’s financial condition, results of operations, plans, objectives, future performance and business. The inclusion of any forward-looking information in this release should not be taken as a representation that any future plans, estimates or expectations contemplated will be achieved. Forward-looking statements are subject to various risks, uncertainties and assumptions. Forward-looking statements reflect management’s current plans, estimates and expectations and are inherently uncertain. All forward-looking statements are subject to known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially, including risks relating to global and national market and business conditions; successful execution of business and growth strategies; regulatory factors relevant to P10 activities; changes in the tax status of P10; the ability of P10 to maintain its rate structure; its ability to attract and retain key employees; its ability to service its obligations under its debt agreements; as well as assumptions relating to P10’s operations, financial results, financial condition, business prospects, growth strategy; and its ability to manage the effects of events beyond its control. The foregoing list of factors is not exhaustive. For more information about these risks and uncertainties as well as additional risks facing P10, you should refer to the “Risk Factors” included in P10’s Annual Report on Form 10-K for the year ended. December 31, 2021filed with the United States Securities and Exchange Commission (“SEC”) on March 21, 2022, and in its subsequent reports filed from time to time with the SEC. The forward-looking statements included in this press release speak only as of the date hereof. P10 undertakes no obligation to update or revise any forward-looking statement as a result of new information or future events, except as otherwise required by law.

There can be no assurance that the ECG Impact Loans will be implemented on the terms intended, or not at all, or if implemented, whether their performance will be consistent with past performance levels. There is also no assurance as to Crossroads’ ability to obtain leveraged financing on terms it deems reasonable, if at all. Any failure of any part of this investment program by Crossroads could have a material adverse impact on Crossroads’ ability to generate its additional pre-tax return on common equity.

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