MONEYME Limited announced an increase to its external securitisation funding facilities to $1.65bn, with undrawn capacity of $388m. The Group’s warehouse funding facilities now include funding from 2 major Aussie banks and 2 major global banks via 5 warehouses.
What were outcomes of the transaction?
MONEYME gets triple-A rating
Inaugural MONEYME term securitisation completes with a triple–A rating. It completed its first term securitisation of MONEYME personal loan customer receivables on 30 June 2022.
Key highlights from the transaction include:
- $200m term securitisation
- Private placement with three major Australian investors
- Moody’s rating, with the senior tranche rated Aaa (sf)
- Frees up $200m of funding capacity in MONEYME’s warehouses
Undrawn securitisation funding capacity increases to $388m
MONEYME also increased the capacity of its Autopay warehouse from $300m-$450m in
June. This deal along with the term securitisation and existing arrangements have increased external securitisation funding facilities to $1.65bn and undrawn capacity of $388m.
What were the executive’s thoughts on the transaction?
These recent updates have also further helped to reduce the Group’s securitisation cost of
funds drawn margin to c. 3.1%. Clayton Howes, MONEYME’s Managing Director and CEO said: “It’s great to see the consistent step changes being made in our securitisation funding program to facilitate profitable returns and stability in the current economic environment.”
“Our inaugural term securitisation is incredibly exciting, with Moody’s Aaa (sf) rating a testament to our track record of consistent credit performance and underwriting standards.”
“Our undrawn securitisation funding capacity of $388m, supported by the reduction in the cost of funds margin, further positions us well in a rising interest rate and increasingly competitive funding environment. We remain focussed on executing our strategy: profitable growth, innovation, maintaining the quality of our loan book, and efficiency and accuracy in credit decisioning thanks to our proprietary lending technology platform,” Howes concluded.