Another Record-Breaking ABS Transaction and a New Milestone for LendingPoint
LendingPoint closes its largest ABS issuance ever, which increases its total issuance amount to over $3 billion
KENNESAW, Ga.–(BUSINESS WIRE)–LendingPoint, a financial technology platform, today announced the closing of its largest securitization to date: LendingPoint 2021-A Asset Securitization Trust (“LDPT 2021-A”), which was $542,360,000 in size, rated by KBRA, and backed by a pool of unsecured, direct-to-consumer loans. This transaction also represented the largest unsecured consumer loan ABS issuance from a single originating platform brought to market since the onset of COVID.
Since 2017, LendingPoint has issued over $3 billion of rated and unrated securitizations across thirteen (13) transactions.
Credit Suisse Securities and Guggenheim Securities served as joint bookrunners on LDPT 2021-A, and Credit Suisse Securities served as sole structuring agent. The transaction involved the issuance of four (4) classes of notes, which were rated A- (sf), BBB- (sf), BB- (sf), and B (sf) by KBRA and provided for a 95% advance rate. The notes priced at a blended yield of +186 vs. 1.37-year interpolated swaps, resulting in a duration-weighted coupon of 2.16% per annum. There were twenty (20) investors in total, including ten (10) first-time investors in LendingPoint’s ABS issuance program.
Originations on LendingPoint’s platform have grown more than 60% in the first half of 2021 compared to the second half of 2020. LendingPoint’s CEO Tom Burnside said, “The public and private capital markets, and transactions such as this, will continue to be an essential part of our platform strategy, allowing us to serve more customers and move into new products while maintaining our strong growth in revenue, EBITDA and net income. We are thrilled with the success of our latest transaction managed by Credit Suisse Securities, Guggenheim Securities, and our internal team of Victor J. Pacheco, Chief Capital Officer, and Chris Johnson, who recently joined LendingPoint as Head of Capital Markets.”
About LendingPoint
LendingPoint is a financial technology platform that provides financing origination solutions to consumers, for ecommerce and point of sale partners, and lending institutions. The company’s fraud prevention, risk and asset management algorithms are used to create financing opportunities across the credit spectrum. Its LendingPoint Merchant Solutions platform provides ecommerce platforms, merchants, and other service providers fully integrated, one-stop financing solutions to convert more customers.
For the past two years, LendingPoint has been named on Inc. 5000’s list of fastest-growing private companies, ranking 17th in 2019. LendingPoint ranked on Deloitte’s Technology Fast 500 list in 2019 and 2020 and was honored as one of the top 40 fastest growing companies in Atlanta by the ACG in 2019, 2020, and 2021. LendingPoint was named one of the 2021 Best Places to Work by the Atlanta Business Chronicle. LendingPoint is a privately held company headquartered in Metro Atlanta, with offices in San Francisco and New York. LendingPoint, LLC owns and operates the LendingPoint platform.
Contacts
Lauren Klopfenstein
Just Drive Media
[email protected]
