Kapitus, a U.S.-based small and medium-sized business financing provider, announced on Tuesday it closed its second asset-backed securitization (ABS) for $160 million. Kapitus reported that the facility, which has a 3-year revolving period, a 5-year legal final, and is expandable to $500 million, was issued in three classes with the senior class earning a rating of A (sf) by Kroll Bond Rating Agency (KBRA).
Founded in 2006, Kapitus claims it is one of the most reliable small business financing providers. The company noted it is able to provide small businesses with the financing they need, when and how it is needed. Since its founding, Kapitus reported it has provided small businesses more than $3 billion in funding
“With one application business owners can save time and money, while eliminating the stress that comes with applying to different lenders. At Kapitus, we believe that business owners should be able to focus on running their business, while we take care of the financing.”
Speaking about the securitization, Andrew Reiser, CEO of Kapitus, stated:
“The execution of our second securitization saw a significant increase in size over our inaugural $105 million issuance in June of 2018. This upsize demonstrates the sustainability of the asset class and reflects the market demand for our technology platform and funding processes.”
Ben Johnston, COO of Kapitus, then added:
“The world of fintech is evolving to provide a larger suite of products to a more diverse group of businesses. Our latest securitization allows us to grow with our customers while expanding the financing options available to them.”