NEW YORK--(BUSINESS WIRE)--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”) seventh 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 credit enhancement (10.25%) as a percentage of the current collateral balance is reached.
As of April 1, 2017 (the “Statistical Calculation Date”), the collateral consists of equipment loans and leases totaling approximately $226.1 million. The balance of the collateral is subject to certain eligibility criteria and will be funded during a 90-day period (“Pre-Funding Period”) following the closing date and will total approximately $25.2 million. The discounted balance (“Discounted Contract Balance”) for the collateral as of the Statistical Calculation Date is based on the projected equipment loan and lease cash flows discounted at a rate of 4.75%.
KBRA analyzed the transaction using the Equipment Lease & Loan Methodology published on June 30, 2012.
Preliminary Ratings Assigned: Ascentium Equipment Receivables 2017-1 Trust
|Class||Rating||Initial Principal Balance|
|A-1 Notes||K1+ (sf)||$ 48,048,000|
|A-2 Notes||AAA (sf)||$ 62,585,000|
|A-3 Notes||AAA (sf)||$ 87,268,000|
|B Notes||AA+ (sf)||$ 16,837,000|
|C Notes||A+ (sf)||$ 11,183,000|
|D Notes||BBB+ (sf)||$ 9,675,000|
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