SAN CARLOS, Calif., May 24, 2022 (GLOBE NEWSWIRE) — Oportun (OPRT), a mission-driven fintech and digital banking platform, today announced the issuance of $400 million in asset-backed notes two-year renewable assets secured by a pool of unsecured and secured installment loans.
The offering included four classes of fixed rate notes: Class A, Class B, Class C and Class D. DBRS, Inc. rated all classes of Notes, assigning ratings of AA (low) (sf), A (low) (sf), BBB (low) (sf) and BB (high) (sf), respectively. The Class A, Class B and Class C bonds were placed with a diverse mix of institutional investors in a private offering pursuant to Rule 144A of the Securities Act of 1933, as amended. Class D bonds will be held by a subsidiary of Oportun. Class A, Class B and Class C bonds were priced with a weighted average yield of 5.68% per annum. Jefferies LLC acted as lead bookrunner with Goldman Sachs & Co. LLC and JP Morgan Securities LLC as joint bookrunners.
Oportun will pledge the Class D bonds and residual cash flows on its existing financing facility provided by Jefferies.
“This transaction demonstrates that we are able to access growth capital even in challenging markets and demonstrates investor confidence in our AI-powered underwriting,” said Jonathan Coblentz, Chief Financial and Administrative Officer at Oportun.
This press release does not constitute an offer to sell or the solicitation of an offer to buy and there will be no sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration. or qualification under securities laws. of such jurisdiction.
Oportun (OPRT) is an AI-powered digital banking platform that seeks to make financial health effortless for everyone. Driven by a mission to provide inclusive and affordable financial services, Oportun helps its nearly 1.7 million hardworking members meet their daily borrowing, saving, banking and investing needs. Since its inception, Oportun has provided over $13 billion in responsible and affordable credit, saved members over $2.2 billion in interest and fees, and automatically helped members set aside over $7.6 billion for rainy days and other needs. In recognition of its responsibly designed products, Oportun has been certified as a Community Development Financial Institution (CDFI) since 2009.