SoFi Blog

San Francisco, CA July 29, 2015   SoFi, the nation’s second largest marketplace lender, today announced it has priced a securitization of $417.6 million in refinanced student loans. It also announced it is the first fintech company to receive an “AAA” rating from DBRS and an “AA2” from Moody’s for the senior notes, which equaled $387.3 million.

“We’re thrilled to continue our history of firsts,” said Nino Fanlo, SoFi CFO/COO. “Last year we were the first marketplace lender to secure investment grade ratings from the leading agencies, and now we’re the first fintech company to receive a Triple A rating from DBRS.  It’s gratifying to see our investor base deepen, including twenty of the world’s leading and most highly regarded institutional investors. These ratings are further proof that we’re creating capital efficiency that strengthens the value of our products for our members,” he said.

In total, SoFi has completed six securitizations of refinanced student loans with a total value of more than $1.85 billion.  In the coming months, SoFi expects to broaden its securitization transactions into other asset classes, such as personal loans and mortgages, where its loan volume continues to grow.

SoFi completed its first rated securitization in 2013.  In 2014, SoFi became the first marketplace lender to secure investment grade ratings from S&P and Moody’s for senior notes in a securitization.

“More broadly, we believe we’ve led about two thirds of the total securitizations in the marketplace industry.  Looking ahead, we look forward to strengthening our leadership position and broadening the appeal of these transactions even further,” continued Fanlo.

About SoFi

SoFi is a leader in marketplace lending and the largest provider of student loan refinancing, with over $3 billion dollars in loans funded. Recently recognized by CNBC as a Disruptor 50, we’re transforming financial services for early stage professionals with student loan refinancing, mortgages, personal loans, and MBA loans.  Unlike traditional lenders, our proprietary underwriting approach takes into account merit and employment history to offer unique credit products our members won’t find elsewhere.  We offer individual and institutional investors the ability to create positive social impact on the communities they care about while earning compelling rates of return.  For more information, visit SoFi.com.

The securities priced today have not been registered under the Securities Act of 1933, as amended, or applicable state securities laws, and may not be offered or sold in the United States except pursuant to an exemption from the registration requirements of the Securities Act and applicable state securities laws.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, and there shall not be any offer or sale of these securities in any state in which such offer, solicitation or sale would be unlawful.

SAN FRANCISCO, June 17, 2015 — SoFi, the nation’s second largest marketplace lender, today announced it expects its securitization volume for the third quarter of 2015 alone will exceed $1 billion. To date, SoFi has completed five securitizations of refinanced student loans with a total value of more than $1.55 billion. As SoFi moves into the second half of the year, it expects to broaden its transactions into other asset classes, such as personal loans and mortgages, where volume also continues to grow.

SoFi’s fifth securitization, which closed last week, included $411 million of refinanced student loans and was backed by $441 million in collateral. The transaction was comprised of $147 million of floating rate A-1 notes, $235 million of fixed rate A-2 notes, and $29 million of Class B bonds. Moody’s, Standard & Poor’s and DBRS gave the highest rated senior notes Aa2/A/AA (high) respectively. It is the largest securitization for a marketplace lender and is the only securitization of undergraduate and graduate refinanced student loans to achieve such a rating. SoFi’s fourth securitization was completed in January, 2015, and totaled more than $313 million.

SoFi completed its first rated securitization in 2013. In 2014, SoFi became the first marketplace lender to secure investment grade ratings from S&P and Moody’s for senior notes in a securitization.

“Investor response to the high quality of our member base and loan portfolio speaks for itself,” said Nino Fanlo, SoFi’s CFO and COO. “We’re pleased to be leading marketplace lenders to mainstream capital markets and their most efficient outcomes.”

“Transactions like these help enable the firm to continue its fast growth across product development, member servicing and staff,” he continued. “Our goal is two-fold: to appeal to the largest universe of buyers and ensure we are the financial services destination for high achieving professionals. Our mission is to assure that our select customers enjoy premium products and services.”

About SoFi

SoFi is a leader in marketplace lending and the largest provider of student loan refinancing, with over $2.5 billion dollars in loans funded. Recently recognized by CNBC as a Disruptor 50, we’re transforming financial services for early stage professionals with student loan refinancing, mortgages, personal loans, and MBA loans. Unlike traditional lenders, our proprietary underwriting approach takes into account merit and employment history to offer unique credit products our members won’t find elsewhere. We offer individual and institutional investors the ability to create positive social impact on the communities they care about while earning compelling rates of return. For more information, visit SoFi.com.

For press inquiries:
Debra Jack
[email protected]
415-706-5012