CommonBond Closes $231 Million Securitization of Student Loans

11.06.17

News

By Tribeca Venture Partners

CommonBond is reporting they have closed a $231 million securitization of refinanced student loans. The online lender says the issuance received their highest ratings to date with Moody’s rating Aa3, DBRS at AA. The securitization was CommonBond’s fourth and largest and was said to be oversubscribed by 3X showing healthy demand.

Goldman Sachs worked with CommonBond as a co-sponsor and also served as structuring agent, co-lead manager and book-running. Barclays and Citi served as co-lead managers and book-runners on the transaction as well. Guggenheim Securities also served as co-manager.

CommonBond CEO David Klein commented on the most recent securitization;

“Our highest-rated and largest deal yet clearly reflects both the growing investor and customer demand for CommonBond’s products. By maintaining maniacal focus on our category, and delivering the best possible experience for our members, we’ve been able to consistently provide investors with superior credit quality assets. We’re pleased to welcome a standout group of investors to this transaction. And as a programmatic issuer, we look forward to continuing to bring opportunities to market for investors over time.”

CommonBond also shared their inaugural securitization from 2015 was also recently upgraded by DBRS. CommonBond has funded over $1 billion in student loans since inception.

Originally published on June 12, 2017.

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