As expected, Prosper, the SF-based marketplace lending platform for consumer loans, announced the closing of the first securitization from the Prosper Marketplace Issuance Trust, Series 2017-1, “PMIT 2017-1.”
“We are very pleased with the execution of this transaction, which was not only upsized based on the strength of investor demand but also tightened considerably from initial price talk,” stated Prosper CFO Usama Ashraf. “With 30 investors participating, the success of this deal gives us great momentum to build upon as we continue with planned quarterly securitizations.”
Approximately $495 million of notes were issued, increasing from an initial $450 million. Credit Suisse Securities (USA) LLC and Jefferies LLC served as joint bookrunners on the transaction, which was rated by Fitch Ratings, Inc. and Kroll Bond Rating Agency, Inc.
“As one of the underwriters and acting sponsor on this transaction, we were enthused to see such positive feedback and heavy interest from investors,” added Jefferies LLC MD Brian McGrath. “It’s clear that there is growing interest in this asset class, and we look forward to the opportunity to work with Prosper to bring additional securitizations to the market.”
Prosper recently surpassed $9 billion in loans through its platform, with first quarter loan originations up 29 percent when compared to the fourth quarter of 2016.