J. G. Wentworth has closed on a $212.7 million issue of bonds backed by structured settlement payments, lottery receivables and annuity payments.
Two fixed-rate tranches were placed with investors: a $194.47 million class rated AAA/Aaa by DBRS and Moody’s Investors Service, respectively will pay 4.08%, and an $18.25 million class rated BBB/Baa2 will pay 5.54%, according to a press release issued Friday.
The maturities of the respective tranches were not disclosed.
The company said strong demand from institutional investors allowed it to price the deal within a 36-hour window.
“The current market volatility surrounding interest rates and the U.S. Government shutdown underlines the attractiveness of our asset class to institutional investors who seek predictable and consistent returns,” Stefano Sola, executive vice president and chief investment officer of JGWPT Holdings, LLC the holding entity for J.G. Wentworth, said in the press release.
Barclays was the sole structuring advisor and was joined by Deutsche Bank Securities as joint book-running manager. Natixis acted as co-manager.
This was JG Wentworth’s 37th securitization; it sold $390 million of asset-backed securities earlier this year.