On Wednesday, marketplace lending platform, Marlette Funding, announced the closing of its first proprietary “MFT” securitization. The company reported that approximately $205 million of Best Egg collateral was financed through three classes of notes and one class of certificates with the loan sellers retaining a portion of Notes and Certificates.
The Marlette Funding team shared the Class A, B, and C fixed-rated notes were each rated Single-A, Triple-B, and Double-B by Kroll Bond Rating Agency (KBRA). the securitization was placed through Goldman Sachs and furthered Marlene Funding’s access to ABS capital markets.
Paul Ricci, CFO of Marlette Funding, stated:
“Accessing the securitization markets represents the third major component of a diversified funding plan, which also includes building strong relationships with institutional investors and developing on-balance sheet asset backed credit facilities.”
“Our institutional partners value our ability and willingness to help them access the securitization markets. The elegance of this type of collaboration is it provides programmatic consistency in terms of structure, reps and warranties, and risk sharing.”
The closing of the securitization transaction comes just a few months after Marlette Funding appointed Prosper’s former COO and CRO, Josh Tonderys, as its new president. Other company milestones include originating over $2B in loans, celebrating its two year anniversary, signing several strategic partnerships and receiving board approval to launch two new products.