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Andrew Murstein

February 28, 2024

Andrew Mead Murstein (born June 29, 1964) is an American businessman. He is the founder, president, board member and, with his family, the largest shareholder of Medallion Financial Corp., an investment company publicly traded on the Nasdaq stock exchange under the symbol MFIN.[3][4] MFIN and its predecessor companies have invested over $10 billion in various companies throughout the U.S.

Andrew Murstein
Murstein in 2007
Born
Andrew Mead Murstein[1]

(1964-06-29) June 29, 1964 (age 59)
Roslyn, New York
Alma materTufts University, New York University, M.B.A.
Occupation(s)President and board member, Medallion Financial Corp.
ChildrenKimberly Murstein and Matt Murstein[2]

In 1994, he was named among Crain's New York Business' "40 Under 40", and has been featured in numerous business publications.[5][6] In 2013, he was appointed to the Board of the Javits Center.

Early life and education edit

Murstein was born in Roslyn, New York to Alvin and Aileen Murstein. Murstein received a B.A. in economics, cum laude, from Tufts University and an M.B.A. in finance from New York University.[7][8]

Start of the medallion business edit

His grandfather of German-Jewish descent, Leon Murstein, came to the United States from Argentina,[6][9] became a New York cabdriver and purchased one of the first New York taxi medallions, issued in 1937, for $10.[10][11][12] The family went on to purchase several hundred medallions for prices as little as $10 each—medallions peaked at over $1,300,000 each but then dropped each year until by 2021 they were selling no more than $85,000 each.[13][14][15][16]

In the 1970’s, Mustrein's father Alvin Murstein founded Medallion Funding Corp. to build a taxi medallion lending business. Medallion Funding earned returns on investment over 20 percent per year.[17]

Early career edit

After completing his studies at Tufts University and New York University, Murstein spent several years on Wall Street, including time at Salomon Brothers, where he learned the important of equity in funding a business.

He joined the family business, Medallion Funding full-time in 1990 and eventually took the company public.[18]

In 1996, Murstein successfully launched Medallion Financial Corp., established to be the parent company of Medallion Funding, as a public company trading on the Nasdaq under the symbol MFIN.[10][19] The company has financed the purchase of thousands more in Newark, Cambridge, Philadelphia, Chicago, Boston and New York City, is an established industry leader.[6][20] But taxi loans are only a part of the story. The company also established or bought successful businesses that lend to a variety of small businesses such as dry cleaners, convenience stores, manufacturers, distributors, and later public companies.[10][11][13]

In 1994, Murstein invested $1 million to create a subsidiary which sold advertising on the tops of taxis. The subsidiary, eventually named Medallion Taxi Media, was enhanced in 1996 with the acquisition of See Level Advertising. Murstein sold Medallion Taxi Media to Clear Channel yielding $35 million in 2004.[18][19][20][21] About this time Medallion Financial Corp. set up its own bank, Medallion Bank, to fund many of the company's endeavors.[22] On February 27, 2009, Medallion accepted an $11.8 million investment from the U.S. Treasury, a security which was repaid on July 21, 2011.[23]

Decline in medallion values edit

The price of NY City medallions peaked in 2013, as the emergence of ride-hailing companies caused the first significant and sustained decline in medallion values. In order to navigate this challenge, Murstein reduced medallion lending, expanded consumer lending and restructured existing medallion loans. To better communicate the more diversified lending strategy, a stock symbol change was made from "TAXI" to "MFIN" on May 10, 2016 [24] A decision was also made to eliminate the dividend and convert to a C corp from a Business Development Company due to tax and capital considerations.[25] After a steep decline, shares of MFIN began to rebound in the second half of 2017.[26]

By December 12, 2017, 9% senior notes issued by Medallion Financial traded for over 100% of par value, which is a significant recovery from distressed levels reached earlier in 2017, and an indication of improved investor confidence. After a dip at the onset of the COVID-19 pandemic, Medallion Financial's stock price (NASDAQ: MFIN) increased by 5x in the following year.[when?] [27]

On May 19, 2019, New York Times published an investigative report on how medallion lending practices effected a generation of taxi drivers, citing Murstein, among others, as moving the industry toward riskier lending practices.[28]

Other investments edit

In 2008, Murstein along with former baseball player Hank Aaron, former New York Governor Mario Cuomo, both Medallion Financial board members, and former football star and Congressman Jack Kemp, formed a special-purpose acquisition company (SPAC) which raised $230 million to buy a professional sports team. The SPAC reportedly bid for the Chicago Cubs and other sports properties but ended up not making a purchase because none of the properties the company evaluated had the right mix of profit potential and risk avoidance.[29][30] Later that same year, Murstein organized and filed publicly a SPAC focused on the security industry and assembled a board of directors that included former FBI Director Louis Freeh and former Pennsylvania Governor and Homeland Security Secretary Tom Ridge.

In 2012, Medallion Sports Group, along with partners Richard Mack and NFL player Jim Brown, Murstein acquired the Long Island Lizards of Major League Lacrosse, and renamed the team the New York Lizards. The team played at Hofstra University on Long Island and won the MLL championship for the third time in 2015.[30]

NASCAR team ownership edit

On November 8, 2010, Medallion Financial Corp., as part of an investment group which included Richard Petty, acquired the racing assets of NASCAR's Richard Petty Motorsports.[31] In 2017, Murstein and Petty announced that they had hired Darrell "Bubba" Wallace Jr., to drive the No. 43 car, becoming the first African-American driver to drive regularly in NASCAR's premier Cup Series in over 40 years.[32][33] After the 2021 NASCAR Cup Series season, Murstein sold his stake in Richard Petty Motorsports (the majority ownership) to Maury Gallagher, the Chairman and CEO of Allegiant Air and owner of NASCAR team GMS Racing.[34] As a result, RPM was renamed Petty GMS Motorsports.[35]

References edit

  1. ^ "Andrew Murstein Weds Miss Rudnick". The New York Times. November 4, 1990. Retrieved March 18, 2019.
  2. ^ "Nicki Minaj turns NY boys into men". The Times of Israel. April 28, 2015. Retrieved February 2, 2019. Minaj was hired by a New York taxi mogul, Andrew Murstein, to grace and perform at his son Matt's bar mitzvah party last weekend in Manhattan
  3. ^ Medallion Financial Corp. Reports 2016, First Quarter Results And Announces Ticker Symbol Changes To MFIN and MFINL, Medallion Financial Corp. (Website), May 10, 2016
  4. ^ Salary.com, Site built by. "Compensation Information for Andrew M. Murstein , President, Chief Operating Officer and Director of MEDALLION FINANCIAL CORP". Salary.com. Retrieved March 18, 2019.
  5. ^ "Andrew Murstein, 29," by Peter Grant "40 under 40," Crain's New York Business, Jan. 31, 1994/Feb. 6, 1994, p. 11
  6. ^ a b c Medallion Financial Corp. Retrieved Oct. 7, 2010 (Website) (www.medallion.com)
  7. ^ "About: Senior Management". www.medallion.com. Retrieved March 18, 2019.
  8. ^ Andrew Murstein et al., The Business of Funding, New York, Aspatore Inc., 2006, p. 37
  9. ^ "NYC taxi medallions worth hailing," by Taylor McGraw, USA Today, Aug. 6, 2009, p. 3B
  10. ^ a b c "So you want to go public," by Stan Luxenberg, Family Business magazine, Winter, 2003 Issue (Magazine)
  11. ^ a b "Hailing New Customers," by Tania Padgett, Newsday, Nov. 3, 2003, p. A31 (Magazine)
  12. ^ "A Lender Hopes to Profit From the New Taxi Math," by Tim Gray, The New York Times, Jan. 25, 2004
  13. ^ a b “Industry Information,” New York City Taxi & Limousine Commission website (http://www.nyc.gov/html/tlc/html/misc/avg_med_price.shtml 2011-09-24 at the Wayback Machine), retrieved Oct. 7, 2010
  14. ^ Time to Hail Medallion Financial Shares, Barron's, September 18, 2015 (http://www.barrons.com/articles/time-to-hail-medallion-financial-shares-1442634110)
  15. ^ "Form 10-K". www.sec.gov. Retrieved March 15, 2017.
  16. ^ (PDF). New York City Taxi and Limousine Commission. August 16, 2018. Archived from the original (PDF) on August 17, 2018.
  17. ^ "40 Under 40 Class of 1994". Crain's New York Business. July 31, 2018. Retrieved March 18, 2019.
  18. ^ a b Medallion Financial Corp. website (www.medallion.com), retrieved May 26, 2016
  19. ^ a b "New York cabs try to become ideal vehicle for advertisers," by Andrew Edgecliffe-Johnson, Financial Times, April 8, 1999
  20. ^ a b Medallion Financial Corp. annual report, 2009, p. 4, and 2004 and 2005, both p. 2 (http://www.medallionfinancial.com/pdf/annual_reports/Medallion_AR_2009.pdf[permanent dead link])
  21. ^ Stuart Elliott (July 31, 1996). "The Media Business: Advertising – Addenda; Two Developments in Ads on Taxicabs". The New York Times. Retrieved March 18, 2019.
  22. ^ "You Bankin' With Me?" by David Dent, Business 2.0 magazine, April 2005, p. 62
  23. ^ "Medallion Bank - Eye on the Bailout - ProPublica". projects.propublica.org. August 18, 0202. Retrieved March 18, 2019.
  24. ^ "Medallion Financial Corp. Reports 2016 First Quarter Results and Announces Ticker Symbol Changes to MFIN and MFINL". www.businesswire.com. May 10, 2016. Retrieved March 18, 2019.
  25. ^ "Medallion Financial Corp. Reports Third Quarter 2017 Results". www.businesswire.com. November 7, 2017. Retrieved March 18, 2019.
  26. ^ Bresiger, Gregory (October 15, 2017). "Investors see opportunity as taxi medallion prices 'bottom out'". nypost.com. Retrieved March 18, 2019.
  27. ^ "Medallion Financial Corp. 9.000% Notes due 2021 (MFINL)". NASDAQ.com. Retrieved March 15, 2017.
  28. ^ Rosenthal, Brian M. (May 19, 2019). "They Were Conned". The New York Times.
  29. ^ "Medallion Financial Corp. Reports 2010 Second Quarter and Full Year Results," press release issued August 4, 2010, posted on Business Wire (http://www.businesswire.com/news/home/20100804005928/en/Medallion-Financial-Corp .-Reports-2010-Quarter-Results), Yahoo, Dow Jones, Reuters, businessweek.com, marketwatch.com, and Medallion's website
  30. ^ a b "laim-mll-championship-1.10721898 Rob Pannell's Four Goals Help Lizards Rally To Claim MLL Championship, Newsday, August 9, 2015". newsday.com. Retrieved March 18, 2019.
  31. ^ "Medallion Financial Corp. (TAXI) Stock Price, Quote, History & News". finance.Yahoo.com. Retrieved March 18, 2019.
  32. ^ "And The NASCAR Wild-Card river To Watch In 2018 Will Be….." by Dave Caldwell, Forbes, December 16, 2017
  33. ^ "Richard Petty Motorsports switches to Chevrolet, Aligns with Richard Childress Racing", by Mike Hembree, USA Today, December 7, 2017
  34. ^ "Richard Petty Motorsports sells majority interest to GMS Racing owner Maury Gallagher". NASCAR.com. NASCAR Digital Media, LLC. December 1, 2021. Retrieved December 12, 2021.
  35. ^ Albert, Zack (December 7, 2021). "Richard Petty Motorsports sells majority interest to GMS Racing". NASCAR.com. NASCAR Digital Media, LLC. Retrieved December 12, 2021.

External links edit

  • Medallion Bank
  • Medallion Financial Group
  • Andrew Murstein Richard Petty Motorsports biography December 13, 2021, at the Wayback Machine

February 28, 2024
andrew, murstein, andrew, mead, murstein, born, june, 1964, american, businessman, founder, president, board, member, with, family, largest, shareholder, medallion, financial, corp, investment, company, publicly, traded, nasdaq, stock, exchange, under, symbol,. Andrew Mead Murstein born June 29 1964 is an American businessman He is the founder president board member and with his family the largest shareholder of Medallion Financial Corp an investment company publicly traded on the Nasdaq stock exchange under the symbol MFIN 3 4 MFIN and its predecessor companies have invested over 10 billion in various companies throughout the U S Andrew MursteinMurstein in 2007BornAndrew Mead Murstein 1 1964 06 29 June 29 1964 age 59 Roslyn New YorkAlma materTufts University New York University M B A Occupation s President and board member Medallion Financial Corp ChildrenKimberly Murstein and Matt Murstein 2 In 1994 he was named among Crain s New York Business 40 Under 40 and has been featured in numerous business publications 5 6 In 2013 he was appointed to the Board of the Javits Center Contents 1 Early life and education 2 Start of the medallion business 3 Early career 4 Decline in medallion values 5 Other investments 6 NASCAR team ownership 7 References 8 External linksEarly life and education editMurstein was born in Roslyn New York to Alvin and Aileen Murstein Murstein received a B A in economics cum laude from Tufts University and an M B A in finance from New York University 7 8 Start of the medallion business editHis grandfather of German Jewish descent Leon Murstein came to the United States from Argentina 6 9 became a New York cabdriver and purchased one of the first New York taxi medallions issued in 1937 for 10 10 11 12 The family went on to purchase several hundred medallions for prices as little as 10 each medallions peaked at over 1 300 000 each but then dropped each year until by 2021 they were selling no more than 85 000 each 13 14 15 16 In the 1970 s Mustrein s father Alvin Murstein founded Medallion Funding Corp to build a taxi medallion lending business Medallion Funding earned returns on investment over 20 percent per year 17 Early career editAfter completing his studies at Tufts University and New York University Murstein spent several years on Wall Street including time at Salomon Brothers where he learned the important of equity in funding a business He joined the family business Medallion Funding full time in 1990 and eventually took the company public 18 In 1996 Murstein successfully launched Medallion Financial Corp established to be the parent company of Medallion Funding as a public company trading on the Nasdaq under the symbol MFIN 10 19 The company has financed the purchase of thousands more in Newark Cambridge Philadelphia Chicago Boston and New York City is an established industry leader 6 20 But taxi loans are only a part of the story The company also established or bought successful businesses that lend to a variety of small businesses such as dry cleaners convenience stores manufacturers distributors and later public companies 10 11 13 In 1994 Murstein invested 1 million to create a subsidiary which sold advertising on the tops of taxis The subsidiary eventually named Medallion Taxi Media was enhanced in 1996 with the acquisition of See Level Advertising Murstein sold Medallion Taxi Media to Clear Channel yielding 35 million in 2004 18 19 20 21 About this time Medallion Financial Corp set up its own bank Medallion Bank to fund many of the company s endeavors 22 On February 27 2009 Medallion accepted an 11 8 million investment from the U S Treasury a security which was repaid on July 21 2011 23 Decline in medallion values editThe price of NY City medallions peaked in 2013 as the emergence of ride hailing companies caused the first significant and sustained decline in medallion values In order to navigate this challenge Murstein reduced medallion lending expanded consumer lending and restructured existing medallion loans To better communicate the more diversified lending strategy a stock symbol change was made from TAXI to MFIN on May 10 2016 24 A decision was also made to eliminate the dividend and convert to a C corp from a Business Development Company due to tax and capital considerations 25 After a steep decline shares of MFIN began to rebound in the second half of 2017 26 By December 12 2017 9 senior notes issued by Medallion Financial traded for over 100 of par value which is a significant recovery from distressed levels reached earlier in 2017 and an indication of improved investor confidence After a dip at the onset of the COVID 19 pandemic Medallion Financial s stock price NASDAQ MFIN increased by 5x in the following year when 27 On May 19 2019 New York Times published an investigative report on how medallion lending practices effected a generation of taxi drivers citing Murstein among others as moving the industry toward riskier lending practices 28 Other investments editIn 2008 Murstein along with former baseball player Hank Aaron former New York Governor Mario Cuomo both Medallion Financial board members and former football star and Congressman Jack Kemp formed a special purpose acquisition company SPAC which raised 230 million to buy a professional sports team The SPAC reportedly bid for the Chicago Cubs and other sports properties but ended up not making a purchase because none of the properties the company evaluated had the right mix of profit potential and risk avoidance 29 30 Later that same year Murstein organized and filed publicly a SPAC focused on the security industry and assembled a board of directors that included former FBI Director Louis Freeh and former Pennsylvania Governor and Homeland Security Secretary Tom Ridge In 2012 Medallion Sports Group along with partners Richard Mack and NFL player Jim Brown Murstein acquired the Long Island Lizards of Major League Lacrosse and renamed the team the New York Lizards The team played at Hofstra University on Long Island and won the MLL championship for the third time in 2015 30 NASCAR team ownership editOn November 8 2010 Medallion Financial Corp as part of an investment group which included Richard Petty acquired the racing assets of NASCAR s Richard Petty Motorsports 31 In 2017 Murstein and Petty announced that they had hired Darrell Bubba Wallace Jr to drive the No 43 car becoming the first African American driver to drive regularly in NASCAR s premier Cup Series in over 40 years 32 33 After the 2021 NASCAR Cup Series season Murstein sold his stake in Richard Petty Motorsports the majority ownership to Maury Gallagher the Chairman and CEO of Allegiant Air and owner of NASCAR team GMS Racing 34 As a result RPM was renamed Petty GMS Motorsports 35 References edit Andrew Murstein Weds Miss Rudnick The New York Times November 4 1990 Retrieved March 18 2019 Nicki Minaj turns NY boys into men The Times of Israel April 28 2015 Retrieved February 2 2019 Minaj was hired by a New York taxi mogul Andrew Murstein to grace and perform at his son Matt s bar mitzvah party last weekend in Manhattan Medallion Financial Corp Reports 2016 First Quarter Results And Announces Ticker Symbol Changes To MFIN and MFINL Medallion Financial Corp Website May 10 2016 Salary com Site built by Compensation Information for Andrew M Murstein President Chief Operating Officer and Director of MEDALLION FINANCIAL CORP Salary com Retrieved March 18 2019 Andrew Murstein 29 by Peter Grant 40 under 40 Crain s New York Business Jan 31 1994 Feb 6 1994 p 11 a b c Medallion Financial Corp Retrieved Oct 7 2010 Website www medallion com About Senior Management www medallion com Retrieved March 18 2019 Andrew Murstein et al The Business of Funding New York Aspatore Inc 2006 p 37 NYC taxi medallions worth hailing by Taylor McGraw USA Today Aug 6 2009 p 3B a b c So you want to go public by Stan Luxenberg Family Business magazine Winter 2003 Issue Magazine a b Hailing New Customers by Tania Padgett Newsday Nov 3 2003 p A31 Magazine A Lender Hopes to Profit From the New Taxi Math by Tim Gray The New York Times Jan 25 2004 a b Industry Information New York City Taxi amp Limousine Commission website http www nyc gov html tlc html misc avg med price shtml Archived 2011 09 24 at the Wayback Machine retrieved Oct 7 2010 Time to Hail Medallion Financial Shares Barron s September 18 2015 http www barrons com articles time to hail medallion financial shares 1442634110 Form 10 K www sec gov Retrieved March 15 2017 JULY 2018 MEDALLION SALES CHART PDF New York City Taxi and Limousine Commission August 16 2018 Archived from the original PDF on August 17 2018 40 Under 40 Class of 1994 Crain s New York Business July 31 2018 Retrieved March 18 2019 a b Medallion Financial Corp website www medallion com retrieved May 26 2016 a b New York cabs try to become ideal vehicle for advertisers by Andrew Edgecliffe Johnson Financial Times April 8 1999 a b Medallion Financial Corp annual report 2009 p 4 and 2004 and 2005 both p 2 http www medallionfinancial com pdf annual reports Medallion AR 2009 pdf permanent dead link Stuart Elliott July 31 1996 The Media Business Advertising Addenda Two Developments in Ads on Taxicabs The New York Times Retrieved March 18 2019 You Bankin With Me by David Dent Business 2 0 magazine April 2005 p 62 Medallion Bank Eye on the Bailout ProPublica projects propublica org August 18 0202 Retrieved March 18 2019 Medallion Financial Corp Reports 2016 First Quarter Results and Announces Ticker Symbol Changes to MFIN and MFINL www businesswire com May 10 2016 Retrieved March 18 2019 Medallion Financial Corp Reports Third Quarter 2017 Results www businesswire com November 7 2017 Retrieved March 18 2019 Bresiger Gregory October 15 2017 Investors see opportunity as taxi medallion prices bottom out nypost com Retrieved March 18 2019 Medallion Financial Corp 9 000 Notes due 2021 MFINL NASDAQ com Retrieved March 15 2017 Rosenthal Brian M May 19 2019 They Were Conned The New York Times Medallion Financial Corp Reports 2010 Second Quarter and Full Year Results press release issued August 4 2010 posted on Business Wire http www businesswire com news home 20100804005928 en Medallion Financial Corp Reports 2010 Quarter Results Yahoo Dow Jones Reuters businessweek com marketwatch com and Medallion s website a b laim mll championship 1 10721898 Rob Pannell s Four Goals Help Lizards Rally To Claim MLL Championship Newsday August 9 2015 newsday com Retrieved March 18 2019 Medallion Financial Corp TAXI Stock Price Quote History amp News finance Yahoo com Retrieved March 18 2019 And The NASCAR Wild Card river To Watch In 2018 Will Be by Dave Caldwell Forbes December 16 2017 Richard Petty Motorsports switches to Chevrolet Aligns with Richard Childress Racing by Mike Hembree USA Today December 7 2017 Richard Petty Motorsports sells majority interest to GMS Racing owner Maury Gallagher NASCAR com NASCAR Digital Media LLC December 1 2021 Retrieved December 12 2021 Albert Zack December 7 2021 Richard Petty Motorsports sells majority interest to GMS Racing NASCAR com NASCAR Digital Media LLC Retrieved December 12 2021 External links editMedallion Bank Medallion Financial Group Andrew Murstein Richard Petty Motorsports biography Archived December 13 2021 at the Wayback Machine Retrieved from https en wikipedia org w index php title Andrew Murstein amp oldid 1172499310, wikipedia, wiki, book, books, library,

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