TMCnet News
PowerPay Completes $118.9 Million Asset-Backed Securitization to Further GrowthInaugural deal ignites new opportunities for leading fintech company. PHILADELPHIA, April 4, 2024 /PRNewswire/ -- PowerPay, a leading fintech company specializing in real-time lending and payment solutions for contractors and physicians announced the closing of their inaugural securitization obtained by home improvement and elective medical loans, and a 144A transaction rated by KBRA. This is PowerPay's first securitization (PWRP 2024-1). The Company partnered with CapitalOne Securities and Chartway Federal Credit Union, Virginia Beach, VA to achieve this milestone. "The transaction provides the Company a securitization program that will allow us to obtain access to capital markets while providing a diversified funding source to fuel continued growth for the foreseeable future," said Mike Petrakis, PowerPay Founder & CEO. "Chartway Federal Credit Union has been a valued partner. We look forward to further success as we consolidate the space. It's encouraging to see that our consumers and channel partners have remained resilient despite economic turmoil over the past few years. With the focus of conerting transparent purchases into simple monthly payments, we anticipate being able to access public securitizations on a regular basis as the market begins to rebound." Headquartered in King of Prussia, PA, PowerPay launched its platform in 2020 in the home improvement and elective medical sectors and has since become one of the industry leaders in point-of-sale financing. The securitization, totaling approximately $118 million and issued as PWRP 2024-1, consists of Class A, B, and C notes with ratings of A-, BBB, and BB-, respectively, from Kroll Bond Rating Agency. Since its inception PowerPay has been focused on its partnership with credit unions as it provides origination, servicing, compliance, & insurance through its 10,000 + national provider network.
The issuance of PWRP 2024-1 is a landmark achievement for PowerPay as the Company continues broadening institutional support of the asset class and improving access to home improvement and elective medical financing. About PowerPay Media & Investor Relations: View original content to download multimedia:https://www.prnewswire.com/news-releases/powerpay-completes-118-9-million-asset-backed-securitization-to-further-growth-302108412.html SOURCE PowerPay |