KBRA Assigns Preliminary Ratings to Ascentium Equipment Receivables 2017-2 Trust

NEW YORK--()--Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to six note classes of Ascentium Equipment Receivables 2017-1 Trust. The notes are newly issued asset-backed securities backed by a portfolio of equipment leases and loans.

This transaction is Ascentium Capital LLC’s (“Ascentium” or the “Company”) eighth securitization supported by small and mid-ticket general equipment. The transaction features a payment waterfall, whereby all collections after expenses and interest payments will pay down principal, until the target overcollateralization (10.25%) as a percentage of the current collateral balance is reached.

As of September 30, 2017 (the “Statistical Calculation Date”), the collateral consists of equipment loans and leases totaling approximately $218.8 million. The balance of the collateral is subject to certain eligibility criteria and will be funded during a 60-day period (“Pre-Funding Period”) following the closing date and will total approximately $31.9 million. The discounted balance (“Discounted Contract Balance”) for the collateral as of the Statistical Calculation Date is based on the projected equipment loan and lease cash flows discounted at a rate of 4.75%.

 
Preliminary Ratings Assigned: Ascentium Equipment Receivables 2017-2 Trust
Class     Preliminary KBRA Rating     Initial Amount
A-1 Notes     K1+ (sf)     $50,000,000
A-2 Notes     AAA (sf)     $80,000,000
A-3 Notes     AAA (sf)     $69,279,000
B Notes     AA+ (sf)     $14,915,000
C Notes     A+ (sf)     $11,155,000
D Notes     BBB+ (sf)     $9,651,000
       

Representations & Warranties Disclosure

All Nationally Recognized Statistical Rating Organizations are required, pursuant to SEC Rule 17g-7, to provide a description of a transaction’s representations, warranties and enforcement mechanisms that are available to investors when issuing credit ratings. KBRA’s disclosure for this transaction can be found in the report available here.

Related Publications: (available at www.kbra.com)

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About Kroll Bond Rating Agency

KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).

Contacts

Kroll Bond Rating Agency
Analytical Contacts:
Patrick McShane, 646-731-2376
Senior Director
pmcshane@kbra.com
or
Chris Baffa, 646-731-3312
Associate Director
cbaffa@kbra.com
or
Pauline Christo, 646-731-3397
Director
pchristo@kbra.com

Contacts

Kroll Bond Rating Agency
Analytical Contacts:
Patrick McShane, 646-731-2376
Senior Director
pmcshane@kbra.com
or
Chris Baffa, 646-731-3312
Associate Director
cbaffa@kbra.com
or
Pauline Christo, 646-731-3397
Director
pchristo@kbra.com