KBRA Assigns Preliminary Rating to Mariner Finance Issuance Trust 2024-A
2024年7月27日 - 7:52AM
ビジネスワイヤ(英語)
KBRA assigns a preliminary rating to one class of notes issued
from Mariner Finance Issuance Trust 2024-A ("MFIT 2024-A"), a
personal loan asset-backed securities transaction.
MFIT 2024-A will issue five classes of notes totaling $300
million. The notes are expected to be collateralized by at least
$343.453 million of secured and unsecured, fixed-rate, personal
loans originated by Mariner Finance, LLC, (“Mariner” or the
“Company”) at closing. The preliminary rating reflects the initial
credit enhancement level of 43.50% for the Class A notes. Credit
enhancement is comprised of overcollateralization, subordination of
junior note classes, a cash reserve account, and excess spread.
This transaction includes a three-year revolving period where
additional collateral may be funded in the transaction so long as
it complies with certain eligibility criteria and the resulting
collateral pool, following any additions, is maintained within
reinvestment criteria. MFIT 2024-A is Mariner’s first consumer
loan, term ABS securitization issued in 2024. Mariner has
previously issued nine public and one private consumer loan
securitizations since 2017.
Mariner was founded in 2002 and is currently a wholly owned
subsidiary of MF Raven Holdings, Inc. (“MF Raven”) which, in turn,
is indirectly wholly owned by WP Raven Acquisition, LLC (“WP
Raven”). Mariner is indirectly owned by private equity funds
managed by Warburg Pincus, LLC through WP Raven. The Company,
together with its affiliates, is headquartered in Baltimore,
Maryland and as of June 30, 2024, has 516 branches across 27 states
servicing over 727,000 active customers. Mariner reported a
positive net income for the first quarter of 2024 and had an
outstanding portfolio balance of $3.1 billion as of June 30,
2024.
KBRA applied its Consumer Loan ABS Global Rating Methodology as
well as its Global Structured Finance Counterparty Methodology and
ESG Global Rating Methodology as part of its analysis of the
transaction’s underlying collateral pool, the proposed capital
structure and Mariner’s historical annualized gross loss data. KBRA
also conducted an operational assessment of Mariner, as well as a
review of the transaction’s legal structure and transaction
documents. KBRA will also review the operative agreements and legal
opinions for the transaction prior to closing.
To access rating and relevant documents, click here.
Click here to view the report.
Methodologies
- ABS: Consumer Loan ABS Global Rating Methodology
- Structured Finance: Global Structured Finance Counterparty
Methodology
- ESG Global Rating Methodology
Disclosures
Further information on key credit considerations, sensitivity
analyses that consider what factors can affect these credit ratings
and how they could lead to an upgrade or a downgrade, and ESG
factors (where they are a key driver behind the change to the
credit rating or rating outlook) can be found in the full rating
report referenced above.
A description of all substantially material sources that were
used to prepare the credit rating and information on the
methodology(ies) (inclusive of any material models and sensitivity
analyses of the relevant key rating assumptions, as applicable)
used in determining the credit rating is available in the
Information Disclosure Form(s) located here.
Information on the meaning of each rating category can be
located here.
Further disclosures relating to this rating action are available
in the Information Disclosure Form(s) referenced above. Additional
information regarding KBRA policies, methodologies, rating scales
and disclosures are available at www.kbra.com.
About KBRA
Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit
rating agency registered with the U.S. Securities and Exchange
Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is
registered as a CRA with the European Securities and Markets
Authority. Kroll Bond Rating Agency UK Limited is registered as a
CRA with the UK Financial Conduct Authority. In addition, KBRA is
designated as a designated rating organization by the Ontario
Securities Commission for issuers of asset-backed securities to
file a short form prospectus or shelf prospectus. KBRA is also
recognized by the National Association of Insurance Commissioners
as a Credit Rating Provider.
Doc ID: 1005263
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version on businesswire.com: https://www.businesswire.com/news/home/20240726744182/en/
Analytical Contacts
Hollie Reddington, Senior Director (Lead Analyst) +1
646-731-3375 hollie.reddington@kbra.com
Jacob Paulose, Associate Director +1 646-731-1269
jacob.paulose@kbra.com
Melvin Zhou, Managing Director (Rating Committee Chair) +1
646-731-2412 melvin.zhou@kbra.com
Business Development Contact
Arielle Smelkinson, Senior Director +1 646-731-2369
arielle.smelkinson@kbra.com