Ascentium Capital is securitizing a $100 million loan facility partially backed by a pool of equipment loans and leases it finances.
Ascentium Funding 1 LLC, assigned an ‘A’ structured finance rating by Standard & Poor’s, is also collateralized by a beneficial interest certificate along with associated equipment and vehicles, according to a rating report issued Tuesday.
S&P noted the availability of 36% total hard credit support for the merchant finance pool and 14% for equipment-related collateral. The credit enhancement features of the pool will adjust each month based on pool performance, according to the agency.
The deal also includes eligibility requirements on the underlying finance and lease agreements through the facility, such as a concentration limit of 4% for the single largest obligor; a 20% limit on contracts lacking personal guarantees, and 15% on software contracts.
Ascentium, based in Houston, was founded in 2011 and is owned by funds managed by Luther King Capital Management and Vulcan Capital.