Stonebriar Commercial Finance (“Stonebriar”), a leading independent large-ticket commercial finance company, announced that it has closed its sixth commercial equipment asset-backed securitization (“ABS”), SCFET 2019-2, a $685 million ABS issuance with top tranches rated triple A.
SCFET 2019-2 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. SCFET 2019-2 included assets from four of Stonebriar’s current business platforms – General Equipment, Aviation Capital, Rail Leasing, and Real Estate – including transactions from our Canadian portfolio.
Credit Suisse Securities (USA) LLC served as Lead Structuring Agent and Joint Bookrunner. BofA Securities Inc., served as Co-Structuring Agent and Joint Bookrunner. Citizens Capital Markets and Fifth Third Securities served as Co-Managers on the financing. 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 six equipment securitization transactions totaling approximately $2.9 billion, attracting significant demand from a diverse group of domestic and international institutional investors. SCFET 2019-2 is our largest and most successful ABS issuance to date, delivering the most cost-effective, long-term financing we have achieved thus far. The Credit Suisse team, led by Thomas Pai, did an outstanding job for us. We are also pleased to add both Citizens and Fifth Third, the newest members of Stonebriar’s lender group, to the SCFET underwriting syndicate.”
“Stonebriar’s continued strong performance, enhanced transparency during the marketing process, and multiple ratings upgrades on our five previous ABS pools continue to attract an investor base with a mix of repeat and new investors across the capital structure. We’re proud to count over 40 institutional investors in our ABS investor base, including some of the largest global asset managers, pension funds and insurance companies.”
About Stonebriar: Stonebriar, an Eldridge Industries’ business 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 5 distinct platforms—General Equipment, Aviation Capital, Rail Leasing, Real Estate and Sponsor Finance. To learn more about Stonebriar Commercial Finance please visit www.StonebriarCF.com.
About Eldridge Industries: Eldridge invests across diversified businesses with a focus on Credit and Credit/Real Estate Hybrid; Insurance and Insurance Tech; Real Estate; Sports and Media; Convenient Food; and Technology. In particular, the firm seeks to build and grow businesses 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 please visit www.eldridge.com.