Expected to provide over $500 million in financing capacity over its life
Avant, a leading financial technology company, announced the successful close of its latest personal loan securitization, a $200 million transaction that marks its first-ever deal to receive AAA ratings from both Fitch Ratings and Kroll Bond Rating Agency (KBRA).
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Avant closes a $200 Million personal loan securitization, and earns inaugural AAA rating from Fitch Ratings and KBRA. This milestone highlights Avant’s durable underwriting and capital-efficient structure.
The transaction represents the 23rd personal loan securitization since the company’s founding in 2012 and its seventh revolving transaction, underscoring Avant’s consistent track record coupled with strong investor relationships built over the course of more than a decade in the securitization market. Moreover, the deal is consistent with Avant’s long-term funding diversification strategy, balancing maturity dates and broadening participation among investors.
Rating Milestones and Market Recognition
Notably, this is Avant’s first personal loan securitization rated by Fitch Ratings, in addition to KBRA, which has rated each Avant transaction since 2016. It is also the company’s first personal loan transaction with notes rated AAA by both agencies — a significant milestone that reflects market recognition of Avant’s durable underwriting models and capital-efficient structure.
Structural Details and Capacity
Similar to prior transactions, the deal features a 24-month revolving period, enabling Avant to reinvest principal as loans are repaid. This structure is designed to create a stable and repeatable source of financing capacity that is expected to provide for more than $500 million of personal loans over its life. Combined with all existing asset funding commitments, Avant now has approximately $2.5 billion in long-term funding commitments to support the continued growth of its personal loan and credit card businesses.
Leadership Perspective & Strategic Outlook
“Over more than a decade, we’ve built a funding model designed to support the business through different market environments,” said Kevin Friedrich, Chief Financial Officer of Avant. “Transactions like this reinforce that foundation and allow us to continue to scale our business and support our customers.”
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