AAA-Rating Follows Period of Growth and
Momentum
NEW
YORK, July 11, 2024 /PRNewswire/ --
Octane® (Octane Lending, Inc.®), the fintech
revolutionizing the buying experience for major recreational
purchases, announced that it has closed a $365 million securitization ("OCTL 2024-2")
collateralized by its fixed-rate installment powersports loans
issued through its in-house lender, Roadrunner
Financial®, Inc.
OCTL 2024-2 issued six classes of fixed-rate notes: Class A-1,
Class A-2, Class B, Class C, Class D, and Class E,
which Standard & Poor's (S&P)* and Kroll Bond Rating
Agency (KBRA)** rated as A-1+/K1+, AAA/AAA, AA/AA+, A/A+, BBB/BBB+,
BB/BB+, respectively, in a private offering pursuant to Rule 144A
under the Securities Act of 1933, as amended. Octane's first
asset-backed securitization of 2024, OCTL 2024-1, as well as its
three asset-backed securitizations of 2023, OCTL 2023-1, OCTL
2023-2, and OCTL 2023-3, all had their senior classes of notes
rated AAA by both S&P and KBRA upon issuance.
Atlas SP Securities acted as lead book-running manager and
structuring agent, with J.P. Morgan Securities, Mizuho Americas,
and Truist Securities serving as joint bookrunners. Octane
continued to expand its investor base in this latest issuance while
maintaining the support of existing institutional investors.
"We're thrilled to close our second transaction of the year and
are grateful to see such strong recurring participation by our
existing institutional investors," said Steven Fernald, Chief Financial Officer at
Octane. "Likewise, we welcome the addition of several new asset
managers, pension funds, banks, and insurance companies to our
best-in-class ABS platform, which continues to be a key
differentiator for Octane and a testament to the underlying
strength of our business."
This is Octane's eleventh asset-backed securitization
transaction since launching the program in December 2019. The company has completed more
than $3.7 billion of asset-backed
securitizations to date.
This transaction comes on the heels of several exciting
milestones. Notably, earlier this year, Octane launched its
innovative Dealer Portal 2.0, a significantly upgraded version of
its industry-leading dealer platform. Updates include a
first-of-its-kind Leads Page, a reimagined Work-the-Deal page, and
shorter, simpler credit applications.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of
these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of such jurisdiction.
*The full analysis for S&P's ratings, including any updates,
which you should review and understand, is available on
spglobal.com and can be accessed here.
**KBRA's ratings are subject to all of the terms and conditions
set forth in the related report and KBRA's website, which you
should review and understand, and can be accessed here.
About Octane:
Octane® is revolutionizing
recreational purchases by delivering a seamless, end-to-end digital
buying experience. We connect people with their passions by
combining cutting-edge technology and innovative risk strategies to
make lifestyle purchases–like powersports vehicles, RVs, and
outdoor power equipment–fast, easy, and accessible.
Octane adds value throughout the customer journey: inspiring
enthusiasts with the Octane Media™ editorial brands, including
Cycle World® and UTV
Driver®, instantly prequalifying consumers for
financing online, routing customers to dealerships for an easy
closing, and supporting customers throughout their loan with
superior loan servicing.
Founded in 2014, we have more than 30 OEM and 4,000 dealer
partners, and a team of over 500 in remote and hybrid roles. Visit
www.octane.co.
Octane® and Roadrunner Financial® are
registered service marks of Octane Lending, Inc.
Media Relations: Shannon
O'Hara
VP of Communications & Brand at Octane
Press@octane.co
Investor Relations: Kartik Kothari
SVP of Corporate Development and Investor Relations at Octane
IR@octane.co
View original content to download
multimedia:https://www.prnewswire.com/news-releases/octane-completes-365-million-asset-backed-securitization-to-fuel-continued-innovation-302194172.html
SOURCE Octane