Lendbuzz, a fintech company utilizing AI technology to assist consumers in securing better access to credit for vehicle purchases, has recently closed a 6 million securitization deal known as LBZZ 2024-2. This securitization is backed by a pool of auto loans made to obligors and secured by new and used vehicles like automobiles, light duty trucks, and vans.
The securitization includes four classes of notes: Class A-1, Class A-2, Class B, and Class C. These notes have received ratings from S&P Global Ratings and Kroll Bond Rating Agency, ranging from AA-/AAA to A-/AA.
Leading the deal was J.P. Morgan Securities LLC as the lead bookrunner and structuring agent, along with Goldman Sachs & Co. LLC and RBC Capital Markets, LLC as joint bookrunners. Mizuho and Regions Securities LLC also participated as co-managers.
Lendbuzz’s Chief Financial Officer, George Sclavos, expressed excitement over the successful completion of this transaction, highlighting the strong investor demand and the company’s commitment to driving profitable growth.
This latest securitization marks Lendbuzz’s seventh public securitization since its program launch in late 2021, amounting to over .2 billion in asset-backed securitizations. The company remains dedicated to expanding this program as part of its diverse funding strategy.
Lendbuzz, headquartered in Boston, Massachusetts, is a pioneer in using AI and alternative data to evaluate creditworthiness, especially for consumers with limited credit history. Through partnerships with auto dealerships, Lendbuzz aims to provide attractive financing solutions while enabling dealerships to cater to a broader customer base. Founded in 2015, Lendbuzz continues to innovate and grow in the fintech industry.
