Oportun Completes $439 Million Asset Backed Securitization

Core Viewpoint - Oportun has successfully issued $439 million in asset-backed notes, achieving its first AAA rating on the most senior bonds, reflecting the company's growth and resilience in providing affordable credit [1][4]. Group 1: Financial Details - The issuance consists of two-year revolving fixed rate asset-backed notes secured by a pool of unsecured and secured installment loans [1]. - The weighted average coupon on the transaction was 5.57%, with a weighted average yield of 5.67%, which is 128 basis points lower than the previous ABS financing in January [3][4]. - The Class A notes were priced with a coupon of 4.88% per annum, while Class B, C, D, and E notes had coupons of 5.28%, 5.52%, 6.45%, and 9.40% respectively, with Class E yielding 10.19% per annum [3]. Group 2: Ratings and Structure - The offering included five classes of fixed rate notes, rated by Fitch as AAA, AA-, A-, BBB-, and BB- for Classes A through E respectively [2]. - Goldman Sachs & Co. LLC acted as the sole structuring agent and co-lead, with Deutsche Bank Securities Inc., Jefferies, and Natixis Corporate & Investment Banking also serving as co-leads [2]. Group 3: Company Background - Oportun is a mission-driven financial services company that has provided over $20.3 billion in responsible and affordable credit since its inception, saving members more than $2.4 billion in interest and fees [6]. - The company aims to empower its members with intelligent borrowing, savings, and budgeting capabilities to help them build a better financial future [6].