On Deck Capital, Inc. (NYSE:ONDK) Q2 2020 Earnings Conference Call - Final Transcript
Jul 29, 2020 • 08:00 am ET
Ladies and gentlemen, thank you for standing by, and welcome to the OnDeck Second Quarter 2020 Earnings Conference Call. [Operator Instructions]
I would now like to hand the conference over to one of your speakers for today, Steve Klimas, Head of Investor Relations. Please go ahead, sir.
Thank you, Carol. Good morning, everyone, and welcome to OnDeck's second quarter earnings call. Joining me on the call this morning are Noah Breslow, our Chief Executive Officer; Ken Brause, our Chief Financial Officer; and Nick Brown, our Chief Risk Officer.
Our earnings release was issued last night and is available with our earnings presentation and financial data supplement, in the Investor Relations section of our website. Certain statements, including those related to our third quarter and second half 2020 outlook are forward-looking statements. They are not facts and are subject to material risks and uncertainties described in our SEC filings. These statements are based on currently available information, and we undertake no duty to update them, except as required by law. Today's discussion is also subject to the forward-looking statement limitations in the earnings release and our actual results could differ materially and adversely from those anticipated.
During this call, we will use terms defined in the earnings release and refer to non-GAAP financial measures. For definitions and reconciliations to GAAP, please refer to the non-GAAP tables in the earnings release and the appendix of the earnings presentation posted on our website.
With that, I'll turn the call over to Noah.
Thank you, Steve, and thank you all for joining us today. Before we get into our second quarter highlights and financial results, I want to make a few brief comments on last night's announcement regarding the acquisition of OnDeck by Enova. For anyone that may not have seen that announcement, we entered into a definitive agreement whereby Enova will acquire OnDeck in a transaction valued at $90 million, with an approximate all in per share value of $1.38 for OnDeck shareholders, which equates to about a 90% premium to our closing share price on July 27. We are extremely excited about our combination with Enova. This transaction combines two businesses with complementary expertise and capabilities. Both companies are pioneers in leveraging proprietary analytics and the digital experience to deliver financing to underserve small businesses and consumers.
Following an extensive review of our strategic options conducted over the last few months, we believe this is the best path forward for our customers, employees and shareholders. Joining forces with Enova and leveraging our collective scale and strength as well as our complementary portfolio of products and brands provides the best opportunity for our long-term success. Together, the combined companies share innovative and customer-oriented cultures, and we believe shareholders of both firms will benefit from the substantial synergies expected to be realized as we integrate the businesses. The transaction is anticipated to close later this year, subject to OnDeck's shareholder approval and customary closing requirements. During this pendency period, we remain committed to transparency with