SoFi has closed its $960.2m securitization of student loans.
Named SoFi Professional Loan Program 2018-A Notes (SoFi 2018-A), the offering reflects underlying collateral of more than $1bn in student loans and is SoFi's largest ever securitization, as well as the first by any fintech lender to reach the billion-dollar collateral mark.
The 2018-A notes offering is SoFi's first ABS offering of the year and follows a strong 2017, which saw the company issue a total of $6.9bn in consumer loan and student loan refi transactions.
Ashish Jain, SVP of Capital Markets for SoFi, says the transaction found strong interest from investors, particularly new institutions.
“[This] enabled us to increase the size of the offering. Strong credit ratings and the solid performance of our securitizations have allowed us to expand our investor base over the past year," he said.
The transaction was heavily subscribed, with 39 unique investors, including five new investors, and more than $3bn in total orders.
Joint lead managers were Goldman Sachs, Bank of America Merrill Lynch, Deutsche Bank and JPMorgan.