Securitization

KBRA Assigns Preliminary Ratings to Mosaic Solar Loan Trust 2021-1

Thursday, March 4, 2021 - 9:32pm

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to four classes of notes issued by Mosaic Solar Loan Trust 2021-1 (Mosaic 2021-1), an asset-backed securitization collateralized by a pool of residential solar loans.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to four classes of notes issued by Mosaic Solar Loan Trust 2021-1 (Mosaic 2021-1), an asset-backed securitization collateralized by a pool of residential solar loans.
  • The collateral pool of Mosaic 2021-1 will include approximately $350.0 million of residential solar loans, which composes of $225.0 million in loans at closing and $125.0 million in additional prefunded solar loans.
  • The preliminary ratings reflect the initial credit enhancement levels ranging from 44.58% for the Class A notes to 6.58% for the Class D notes.
  • Solar Mosaic, Inc. (Mosaic or the Company) is a California-based specialty finance company focused on originating and servicing consumer loans used for the purchase of residential solar systems.

KBRA Assigns Preliminary Ratings to Mercury Financial Credit Card Master Trust, Series 2021-1

Wednesday, March 3, 2021 - 9:52pm

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to four classes of notes that will be issued from Mercury Financial Credit Card Master Trust, Series 2021-1 (MFCCMT 2021-1), a credit card asset-backed securities transaction.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to four classes of notes that will be issued from Mercury Financial Credit Card Master Trust, Series 2021-1 (MFCCMT 2021-1), a credit card asset-backed securities transaction.
  • The Notes of MFCCMT 2021-1 are collateralized and repaid by a portfolio of revolving general-purpose credit card accounts.
  • MFCCMT 2021-1, represents the Mercury Financial LLCs (Mercury Financial) (formerly known as CreditShop LLC) inaugural securitization issued from their master trust program.
  • Mercury Financial intends to use the proceeds from the sale of the Series 2021-1 Notes to redeem the notes from a prior securitization, CreditShop Credit Card Company 2019-1.

Ellington Financial Inc. Completes $251.8 Million Non-QM Loan Securitization

Wednesday, March 3, 2021 - 9:10pm

Ellington Financial Inc. (NYSE: EFC) (the "Company") announced today that it has closed a $251.8 million securitization backed by a pool of non-qualified residential mortgage (non-QM) loans.

Key Points: 
  • Ellington Financial Inc. (NYSE: EFC) (the "Company") announced today that it has closed a $251.8 million securitization backed by a pool of non-qualified residential mortgage (non-QM) loans.
  • The securitization was rated by both S&P and KBRA, with the senior tranche receiving AAA ratings.
  • Ellington Financial invests in a diverse array of financial assets, including residential and commercial mortgage loans, residential and commercial mortgage-backed securities, consumer loans and asset-backed securities backed by consumer loans, collateralized loan obligations, non-mortgage and mortgage-related derivatives, equity investments in loan origination companies, and other strategic investments.
  • Ellington Financial is externally managed and advised by Ellington Financial Management LLC, an affiliate of Ellington Management Group, L.L.C.

KBRA Assigns Preliminary Ratings to GLS Auto Receivables Issuer Trust 2021-1

Wednesday, March 3, 2021 - 3:02pm

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to five classes of notes issued by GLS Auto Receivables Issuer Trust 2021-1 (GCAR 2021-1), an asset-backed securitization collateralized by a pool of auto loans.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to five classes of notes issued by GLS Auto Receivables Issuer Trust 2021-1 (GCAR 2021-1), an asset-backed securitization collateralized by a pool of auto loans.
  • GCAR 2021-1 has initial credit enhancement levels ranging from 54.20% for the Class A notes to 4.80% for the Class E notes.
  • KBRA also conducted an operational assessment on the originator and servicer, as well as a review of the transactions legal structure and transaction documents.
  • 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.

Chimera Investment Corporation Sponsors Two Residential Mortgage Loan Securitizations

Monday, March 1, 2021 - 9:15pm

On February 25, 2021, Chimera Investment Corporation (NYSE:CIM) sponsored CIM 2021-R1, a $2.1 billion securitization of seasoned reperforming residential mortgage loans, and CIM 2021-NR1, a $233 million securitization of seasoned non-REMIC eligible residential mortgage loans.

Key Points: 
  • On February 25, 2021, Chimera Investment Corporation (NYSE:CIM) sponsored CIM 2021-R1, a $2.1 billion securitization of seasoned reperforming residential mortgage loans, and CIM 2021-NR1, a $233 million securitization of seasoned non-REMIC eligible residential mortgage loans.
  • The mortgage loans for both securitizations were from the call and collapse of Chimeras CIM 2016-1, CIM 2016-2, and CIM 2016-3 securitizations (the Prior Securitizations).
  • Chimera retained subordinate interests in securities with an aggregate balance of approximately $315 million and certain interest-only securities.
  • Chimera also retained an option to call the securitized mortgage loans at any time beginning in February 2025.

KBRA Assigns Preliminary Rating to Servpro Master Issuer, LLC Series 2021-1 Senior Secured Notes

Monday, March 1, 2021 - 7:57pm

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to a note class of Servpro Master Issuer, LLC Series 2021-1, a whole business securitization.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to a note class of Servpro Master Issuer, LLC Series 2021-1, a whole business securitization.
  • This transaction is structured as a whole business securitization in which Servpro Industries, LLC and certain of its affiliates have contributed substantially all of their revenue-generating assets to Servpro Master Issuer, LLC (the Issuer).
  • In conjunction with the issuance of the Series 2021-1 Notes, KBRA anticipates affirming the ratings on the Issuers outstanding Series 2019-1 Class A-1 Notes and Series 2019-1 Class A-2 Notes.
  • 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.

KBRA Assigns Preliminary Ratings to Pagaya AI Debt Selection Trust 2021-1

Friday, February 26, 2021 - 11:30pm

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to three classes of notes issued by Pagaya AI Debt Selection Trust 2021-1 (PAID 2021-1), a consumer loan ABS transaction.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to three classes of notes issued by Pagaya AI Debt Selection Trust 2021-1 (PAID 2021-1), a consumer loan ABS transaction.
  • This transaction is the second publicly rated securitization for Pagaya Investments US LLC (Pagaya).
  • Pagaya is a 100% owned subsidiary of Pagaya Technologies Ltd., which is an Israeli corporation.
  • KBRA has performed operational reviews of Pagaya and each of the Platform Sellers and has conducted surveillance on each platforms recent securitizations.

KBRA Assigns Preliminary Rating to Upstart Pass-Through Trust, Series 2021-ST3

Thursday, February 25, 2021 - 7:05pm

Kroll Bond Rating Agency (KBRA) assigns a preliminary rating to one class of notes issued by Upstart Pass-Through Trust, Series 2021-ST3 (UPSPT 2021-ST3), a $64 million consumer loan ABS transaction.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) assigns a preliminary rating to one class of notes issued by Upstart Pass-Through Trust, Series 2021-ST3 (UPSPT 2021-ST3), a $64 million consumer loan ABS transaction.
  • The preliminary rating reflects initial credit enhancement of 36.00%.
  • This transaction represents the twentieth ABS securitization collateralized by unsecured consumer loans originated through the online platform operated by Upstart Network, Inc. (Upstart or the Company) and the ninth series of securities issued from the Upstart Pass-Through Trust (UPSPT, Master Trust) program.
  • KBRA also conducted an operational assessment of Upstart, as well as a review of the transactions legal structure and transaction documents.

The Change Company Names Jesse Elhai Head of Capital Markets

Thursday, February 25, 2021 - 5:02pm

The Change Company, Americas Community Development Financial Institution (CDFI), has appointed Jesse Elhai as Managing Director.

Key Points: 
  • The Change Company, Americas Community Development Financial Institution (CDFI), has appointed Jesse Elhai as Managing Director.
  • Mr. Elhai is responsible for leading the companys Capital Markets where he will oversee the financing, sales and trading, and securitization of all non-conventional whole loans.
  • Mr. Elhai stated, I am excited to join The Change Company and build an industry leading capital markets team.
  • Whole loans originated by The Change Company have been included in securitizations issued by Pimco, Angelo Gordon, and others.

Ginnie Mae Utilizes Wolters Kluwer eOriginal Technology for First Fully Electronic Securitization

Wednesday, February 24, 2021 - 2:00pm

Wolters Kluwer Compliance Solutions newly acquired eOriginal technology platform is helping support a major U.S. government institutions efforts to adopt digital technologies as part of its broader modernization initiative.

Key Points: 
  • Wolters Kluwer Compliance Solutions newly acquired eOriginal technology platform is helping support a major U.S. government institutions efforts to adopt digital technologies as part of its broader modernization initiative.
  • Ginnie Mae, an eOriginal client, recently announced a key milestone in its digital journey by guaranteeing securitization of mortgage-backed securities (MBS) for the first time exclusively through the use of eNotes technology, utilizing the eOriginal platform.
  • This transaction marks a turning point for Ginnie Mae and for the broader mortgage industry in facilitating the digital securitization of loans, said Angel R. Hernandez, Director of MBS Policy and Program Development, Office of the President for Ginnie Mae.
  • Wolters Kluwer Compliance Solutions Paycheck Protection Program Supported by TSoftPlus , for example, helps U.S. lenders small business customers access critical stimulus funding.