Student loan refinancing and consolidation platform CommonBond has completed a $231 million securitization of refinanced student loans.
The fourth offering is CommonBond’s highest-rated offering to date, receiving grades of Aa3 and AA by Moody’s and DBRS respectively. More than three times oversubscribed, it was the company’s largest transaction in its history.
“Our highest-rated and largest deal yet clearly reflects both the growing investor and customer demand for CommonBond’s products,” CEO David Klein said. “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 and Goldman Sachs co-sponsored the transaction, with Goldman Sachs serving as structuring agent, co-lead manager and book-runners (along with Barclays and Citi). Guggenheim Securities served as co-manager.
CommonBond also announced its initial securitization from 2015 was recently upgraded by DBRS.