Radius Bank in Boston has bought a national equipment finance business from NewStar Financial in Boston.
NewStar, a $6.6 billion-asset commercial finance company, said in a press release Thursday that it sold NewStar Equipment Finance to the $835 million-asset Radius for $140 million in cash.
The unit, which provides financing to middle-market companies, was formed in 2011. It is led by Steve O'Leary.
NewStar said in the release that the sale reflects its goal to move "from a bank-styled, diversified commercial finance company into a more specialized middle-market direct lender with a focus on managing assets for institutional investors."
Houlihan Lokey and Locke Lord advised NewStar.