Oportun completes $ 375 million asset-backed securitization

SAN CARLOS, Calif., March 08, 2021 (GLOBE NEWSWIRE) – Oportun Financial Corporation (“Oportun”), a financial services company that leverages its digital platform to provide hardworking people with responsible, affordable and money-generating alternatives. payday loan and auto loan credit, today announced the issuance of $ 375 million of two-year asset-backed notes secured by a pool of its personal unsecured installment loans.

The offering included four categories of fixed rate notes: Class A, Class B, Class C and Class D. DBRS, Inc. rated all categories of notes, assigning them AA (low ) (sf), A (low) (sf), BBB (low) (sf) and BB (high) (sf), respectively. Kroll Bond Rating Agency, LLC has rated Class A and Class B Notes, assigning them A (sf) and BBB (sf) ratings, respectively. The Notes were placed with a diverse pool of institutional investors in a private offering in accordance with Rule 144A of the Securities Act of 1933, as amended. The Notes have been valued at a weighted average fixed interest rate of 1.79% per annum. Goldman Sachs & Co. LLC acted as Senior Bookrunner with Jefferies LLC, Morgan Stanley & Co. LLC and Natixis Securities Americas LLC as Joint Bookrunner.

“Our securitization has been oversubscribed several times, demonstrating investor confidence in the high quality of our loans and our business,” said Jonathan Coblentz, CFO of Oportun. “The deal was our largest bond issue and lowest cost of funds to date, and gives us the flexibility of capital to support our growth in 2021 and beyond.”

“The strong response from investors validates the work we have done to develop a digital platform with AI-based models that is able to accurately and fairly score a segment of the market that has been deemed too difficult for valuation by the general financial public. ” said Raul Vazquez, CEO of Oportun. “Our customers are hard working people with no credit score or who have been badly rated due to insufficient credit history, and Oportun strives to provide them with credit building products that allow them access to a better financial future. “

Oportun issued its first securitization in June 2013.

This press release does not constitute an offer to sell or the solicitation of an offer to buy such securities, and there will be no sale of such securities in any jurisdiction in which such an offer, solicitation or sale would be illegal. prior to registration or qualification under the securities laws of that jurisdiction.

About Opportunity
Oportun (Nasdaq: OPRT) is a financial services company that leverages its digital platform to deliver responsible consumer credit to hardworking people. Using AI-powered models that leverage 15 years of proprietary customer information and billions of unique data points, Oportun has provided more than $ 9.8 billion in affordable credit, providing customers with alternatives to payday loans and auto titles. In recognition of its responsibly designed products that help consumers build their credit history, Oportun has been certified as a Community Development Financial Institution (CDFI) since 2009. The company recently applied for a National Banking Charter to extend its services and make its products available in all 50 states. For more information, visit oportun.com.

Investor contact
Nils Erdmann
650-810-9074
ir@oportun.com

Media contact
Bailiff Lieberman
650-769-9414
usher.lieberman@oportun.com


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