Stonebriar Closes its Fourth Equipment Securitization Transaction for $578 Million
Stonebriar Commercial Finance (Stonebriar), a leading independent large-ticket commercial finance company, announced the closing of SCFET 2018-1, a $578 million asset-backed securitization transaction. SCFET 2018-1 marks the fourth equipment securitization transaction that Stonebriar has closed in the last 24 months and its first to secure triple-A ratings.
SCFET 2018-1 is secured by a portfolio of commercial equipment loans and leases across a variety of asset classes including rail, aviation, marine transportation, energy, real estate, and manufacturing. The A-1 and A-2 tranches of the transaction received ratings of “Aaa” and “AAA” from Moody’s Investors Service and Kroll Bond Rating Agency, respectively.
Bank of America Merrill Lynch served as Sole Structuring Agent and Joint Bookrunner. Credit Suisse and Goldman, Sachs & Co. also served as Joint Bookrunners. Stonebriar will continue to service the assets, with US Bank as backup servicer.
Dave B. Fate, President and CEO of Stonebriar, stated "Since June 2016, Stonebriar has executed four equipment securitization transactions totaling over $1.6 billion, attracting significant demand from a diverse group of domestic and international institutional investors. SCFET 2018-1 is our most successful to date, delivering the most cost-effective, long-term financing we have achieved thus far. We continue to expand the SCFET investor base with a mix of repeat and new investors across the capital structure. SCFET 2018-1 included assets from four of Stonebriar’s current business platforms – General Equipment, Aviation Capital, Rail Leasing and Real Estate – including a portion of our Canadian portfolio. Continued strong performance and an increasingly diversified collateral pool were key factors in securing triple A ratings and is a testament to Stonebriar’s ability to build and manage a high-quality portfolio.”
About Stonebriar Commercial Finance: Stonebriar, an Eldridge Industries portfolio company based in Plano, TX, is a leading provider of financing solutions for businesses in a wide variety of industries, of various sizes and credit profiles. Stonebriar leases and finances assets located primarily in North America and select other jurisdictions worldwide currently through 4 distinct platforms—General Equipment, Aviation Capital, Rail Leasing and Real Estate.
About Eldridge Industries: Eldridge Industries is a private investment firm specializing in providing both debt and equity capital. Eldridge invests across diversified industries with a focus on media and sports, insurance, real estate development, asset lending and financing, branded food and hospitality, and asset management businesses. In particular, the firm seeks to build and grow companies led by proven management teams that have demonstrated leadership and experience to scale an enterprise. Eldridge is headquartered in Greenwich, Connecticut, with additional offices in Beverly Hills, New York, and London. To learn more about Eldridge Industries go to www.Eldridge.com.