Oportun Closes $400 Million Whole Loan Flow Sale Agreement with Castlelake, L.P. to Fund Personal Loan Production
August 08 2023 - 5:00PM
Oportun (Nasdaq: OPRT), a mission-driven fintech, and
Castlelake, L.P., a global alternative investment firm specializing
in asset-based opportunities, today announced the entry into a new
$400 million whole loan flow sale agreement between the companies.
Under the terms of the deal, Oportun is expected to sell Castlelake
$400 million of personal loan production originated by Oportun over
the next 12 months.
“This transaction highlights continued strong investor demand
for Oportun’s high-quality personal loan assets,” said Jonathan
Coblentz, Chief Financial Officer of Oportun. “Through this
strategic relationship with Castlelake, we are also demonstrating
our ability to access diverse sources of capital to drive continued
profitable growth in our business.”
Oportun maintains a diverse set of capital sources including
committed warehouse facilities, asset-backed securitizations,
corporate-level debt financing, and whole loan sales.
Castlelake is an experienced investor in the consumer credit
sector, having both acquired assets and provided asset-based
private credit since 2015. The firm has invested more than $4
billion in such opportunities since 2015 and originated more than
3.5 million consumer receivable accounts.
“Through this bespoke private whole loan solution, we are
pleased to support Oportun's continued growth while creating what
we believe to be attractive exposure for our investors," said John
Lundquist, Partner, Specialty Finance at Castlelake. "We are also
proud to support their financially inclusive mission by funding
what we believe to be affordably priced loans for consumers living
in low-and moderate-income communities.”
About OportunOportun (Nasdaq: OPRT) is a
mission-driven fintech that puts its 2 million members' financial
goals within reach. With intelligent borrowing, savings, and
budgeting capabilities, Oportun empowers members with the
confidence to build a better financial future. Since inception,
Oportun has provided more than $16.6 billion in responsible and
affordable credit, saved its members more than $2.4 billion in
interest and fees, and helped its members save an average of more
than $1,800 annually. For more information, visit Oportun.com.
About Castlelake
Castlelake, L.P. is a global alternative investment manager
focused on investments in real assets, specialty finance and
aviation across the risk spectrum, from value-oriented to income
and investment grade credit. Founded in 2005, Castlelake manages
approximately $20 billion of assets. The Castlelake team comprises
more than 200 experienced professionals, including 89 investment
professionals, across seven offices in North
America, Europe and Asia. For more information, please
visit https://www.castlelake.com/.
Forward Looking Statements
This press release contains forward-looking statements. These
forward-looking statements are subject to the safe harbor
provisions under the Private Securities Litigation Reform Act of
1995, Section 27A of the Securities Act of 1933, as amended and
Section 21E of the Securities Exchange Act of 1934, as amended. All
statements other than statements of historical fact contained in
this press release, including statements as to the amount of
personal loan production to be sold under the agreement, future
results of operations and financial position, achievement of
strategic priorities, ability to access diverse sources of capital
and future growth opportunities are forward-looking statements.
Many, but not all, of these statements can be identified by terms
such as “expect,” “plan,” “anticipate,” “project,” "outlook,”
“continue,” “may,” “believe,” or “estimate” and similar expressions
or the negative versions of these words or comparable words, as
well as future or conditional verbs such as “will,” “should,”
“would,” “likely” and “could.” These statements involve known and
unknown risks, uncertainties, assumptions and other factors that
may cause Oportun’s actual results, performance or achievements to
be materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. Oportun has based these forward-looking statements
largely on its current expectations and projections about future
events and financial trends that it believes may affect its
business, financial condition and results of operations. These
risks and uncertainties include those risks described in Oportun's
filings with the Securities and Exchange Commission, including
Oportun's most recent annual report on Form 10-K and most recent
quarterly report on Form 10-Q. The forward-looking statements speak
only as of the date on which they are made and, except to the
extent required by federal securities laws, Oportun disclaims any
obligation to update any forward-looking statement to reflect
events or circumstances after the date on which the statement is
made or to reflect the occurrence of unanticipated events. In light
of these risks and uncertainties, there is no assurance that the
events or results suggested by the forward-looking statements will
in fact occur, and you should not place undue reliance on these
forward-looking statements.
Oportun Investor Contact Dorian Hare(650)
590-4323ir@oportun.com
Oportun Media ContactUsher Lieberman(650)
769-9414usher.lieberman@oportun.com
Prosek Partners for CastlelakeJosh
Clarkson/Remy Marin+1 212 279 3115 jclarkson@prosek.com /
rmarin@prosek.com
Castlelake Media Relations
media.relations@castlelake.com
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