Arena Investors launches equipment finance arm

Investment firm Arena Investors has launched equipment finance subsidiary Empire Asset Finance, a direct private credit lender serving the mid- to large-ticket segment.  

Empire Asset Finance is bullish on capital-intensive middle-market companies across the United States and Canada that have demonstrated success in their respective markets, Empire Chief Executive Rick Rockhold told Equipment Finance News. The company is seeking “disciplined operators with scale that know how to deploy equipment to drive real growth,” he said. 

“Beyond that, we’re really industry and asset class agnostic,” he said. “At the end of the day, we’re a credit-first capital provider, and we look at the equipment as a secondary source of repayment. What we focus on are revenue-generating, mission-critical assets — the equipment that companies cannot function without.”  

Arena Investors, which manages approximately $4.6 billion in assets and programmatic capital, has committed $100 million to support Empire’s growth, according to a Sept. 18 company release. Empire will target deals ranging from $3 million to $50 million, with a focus on flexibility and tech-driven efficiency.  

Rockhold was previously senior vice president of capital markets at Wingspire Equipment Finance, where he played a key role in driving more than $2.5 billion of cumulative volume. Rockhold will lead Empire alongside Chief Operating Officer and Chief Credit Officer Mike Miroshnikov. They have a combined 60 years of experience in the equipment finance industry, according to the release.  

Filling a void 

Bank originations in equipment finance decreased 1.3% in 2024, following a 3.3% decline in 2023, according to the Equipment Leasing and Finance Association. While large-ticket and middle-ticket originations increased 1.4% and 2.5%, respectively, in 2024, those paled in comparison to a 6.2% jump in the small-ticket segment.  

With many big banks tightening their lending standards, Empire plans to stand out from others serving the mid- to large-ticket segment by providing financing to operators who “are underserved by traditional capital providers,” Rockhold said. 

“Instead of a ‘one size fits all’ model, we structure every deal around the realities of the customer’s business,” he said. “We have the expertise to finance mission-critical equipment that others often shy away from, and we do it without layering on additional covenants or hurdles.” 

The company’s financing options will differ from traditional bank structures such as term loans or asset-based lending revolvers, which often require blanket liens and limit advances against equipment, according to the release. 

To help businesses preserve liquidity, Rockhold said Empire will offer flexible financing options, including: 

• Up to 100% financing;  
• Progress funding, also known as pre-funding or phased payments;  
• Operating leases, which allow operators to use equipment short-term without taking ownership and then returning it to the lessor at the end of the term; and 
• Sale-leasebacks, an arrangement in which the finance company buys equipment from a business and immediately leases it back to them. 

“In today’s higher rate environment, those options are really important because they let middle-market companies invest in mission-critical assets while still preserving liquidity and continuing to grow,” Rockhold said. 

Managing risk 

Despite ample opportunities in the large-ticket market, these loans carry risk due to greater exposure to defaults and unpredictable depreciation curves.  

Empire will manage risk by “understanding the strength of the customer and the role the equipment plays in their business,” Rockhold said. 

“We often work with [private equity]-sponsored operators who have already been vetted, which adds another layer of diligence,” he said. “From there, it’s about structuring transactions responsibly — aligning terms with the useful life of the asset and with senior credit facility maturities and keeping diversification in mind.” 

The company will also monitor tariff exposure and focus on the secondary market liquidity of assets as it develops “clear strategies for remarketing” equipment when needed, he said. 

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