Oportun issued $439 million in asset-backed notes rated AAA to BB-, reflecting strong investor demand and enhanced credit access.
Quiver AI Summary
Oportun, a mission-driven financial services company, announced the issuance of $439 million in two-year revolving fixed-rate asset-backed notes backed by a pool of unsecured and secured installment loans. The offering included five classes of notes rated by Fitch, with the Class A notes receiving the highest AAA rating. The weighted average coupon for the transaction was 5.57%, with the Class A notes priced at 4.88% per annum. This issuance represents a significant milestone for Oportun, reflecting investor demand and the company's growth in providing affordable credit, according to Interim CFO Paul Appleton. Since its inception, Oportun has helped its members access over $20.3 billion in credit, saving them significantly on interest and fees.
Potential Positives
- Successful issuance of $439 million in asset-backed notes reflects strong demand and investor confidence in Oportun's business model.
- All classes of notes received positive ratings from Fitch, with the Class A notes attaining a AAA rating, marking a significant recognition of the company's credit quality.
- The current transaction features a yield 1.28% lower than the previous issuance, indicating improved market conditions and cost efficiency for Oportun.
- Oportun's history of providing over $20.3 billion in responsible credit and saving members more than $2.4 billion demonstrates its commitment to enhancing financial accessibility and support for its members.
Potential Negatives
- Despite the positive statement on the issuance of bonds, the Class E notes received a relatively low rating of BB-, which may raise concerns about the risk associated with that class of notes.
- The company's reliance on asset-backed securities for funding could indicate underlying liquidity challenges, raising questions about its long-term financial stability.
- The weighted average coupon of 5.57% being lower than its prior transaction could indicate declining investor confidence or a shift in market conditions since the last issuance.
FAQ
What is the recent financial milestone achieved by Oportun?
Oportun announced the issuance of $439 million in asset-backed notes, marking a significant achievement for the company.
Which financial institutions were involved in Oportun's recent bond issuance?
Goldman Sachs served as the sole structuring agent, with Deutsche Bank, Jefferies, and Natixis as co-leads.
What are the ratings assigned to Oportun's asset-backed notes?
Fitch rated the notes as AAA, AA-, A-, BBB-, and BB- for the different classes of notes issued.
How does the yield of Oportun's latest bond issuance compare to previous transactions?
The 5.67% yield was 1.28% lower than Oportun's prior ABS transaction, indicating strong investor demand.
What is the mission of Oportun as a financial services company?
Oportun aims to provide affordable credit and empower members with tools for better financial management and future building.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$OPRT Insider Trading Activity
$OPRT insiders have traded $OPRT stock on the open market 18 times in the past 6 months. Of those trades, 3 have been purchases and 15 have been sales.
Here’s a breakdown of recent trading of $OPRT stock by insiders over the last 6 months:
- PATRICK KIRSCHT (Chief Credit Officer) has made 0 purchases and 5 sales selling 53,744 shares for an estimated $303,523.
- CASEY MUELLER (Global Controller and PAO) has made 0 purchases and 6 sales selling 29,209 shares for an estimated $169,097.
- R NEIL WILLIAMS purchased 25,000 shares for an estimated $96,750
- KATHLEEN I. LAYTON (Chief Legal Officer) has made 0 purchases and 4 sales selling 12,717 shares for an estimated $76,174.
- CARLOS MINETTI purchased 15,000 shares for an estimated $58,350
- MOHIT DASWANI purchased 7,420 shares for an estimated $28,938
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$OPRT Hedge Fund Activity
We have seen 67 institutional investors add shares of $OPRT stock to their portfolio, and 30 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- PORTOLAN CAPITAL MANAGEMENT, LLC added 818,354 shares (+inf%) to their portfolio in Q1 2025, for an estimated $4,492,763
- MARSHALL WACE, LLP added 813,996 shares (+280.4%) to their portfolio in Q1 2025, for an estimated $4,468,838
- RBF CAPITAL, LLC removed 573,544 shares (-64.8%) from their portfolio in Q1 2025, for an estimated $3,148,756
- UNION SQUARE PARK CAPITAL MANAGEMENT, LLC removed 532,879 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $2,925,505
- BOSTON PARTNERS added 496,873 shares (+inf%) to their portfolio in Q1 2025, for an estimated $2,727,832
- EMG HOLDINGS, L.P. removed 484,051 shares (-77.7%) from their portfolio in Q1 2025, for an estimated $2,657,439
- SUSQUEHANNA INTERNATIONAL GROUP, LLP added 457,907 shares (+1095.7%) to their portfolio in Q1 2025, for an estimated $2,513,909
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
SAN CARLOS, Calif., June 05, 2025 (GLOBE NEWSWIRE) -- Oportun (Nasdaq: OPRT), a mission-driven financial services company, today announced the issuance of $439 million of two-year revolving fixed rate asset-backed notes secured by a pool of unsecured and secured installment loans.
The offering included five classes of fixed rate notes: Class A, Class B, Class C, Class D, and Class E. Fitch rated all classes of notes, assigning ratings of AAA, AA-, A-, BBB-, and BB-, respectively. Goldman Sachs & Co. LLC served as the sole structuring agent and co-lead, and Deutsche Bank Securities Inc., Jefferies and Natixis Corporate & Investment Banking also served as co-leads.
The weighted average coupon on the transaction was 5.57%, and the weighted average yield was 5.67%. The Class A notes were priced with a coupon of 4.88% per annum; the Class B notes were priced with a coupon of 5.28% per annum; the Class C notes were priced with a coupon of 5.52% per annum; the Class D notes were priced with a coupon of 6.45% per annum; and the Class E notes were priced at 98.95% with a coupon of 9.40% and a yield of 10.19% per annum.
“This transaction marks an important milestone for Oportun and reflects a growing recognition of the strength and resilience of our business. Achieving our first AAA rating demonstrates how far we’ve come in expanding access to affordable credit,” said Paul Appleton, Interim Chief Financial Officer at Oportun. “The 5.67% yield on this bond issuance was 1.28% lower than our prior ABS transaction in January, reflecting robust investor demand and creating greater efficiency and value — both for Oportun and for the members we serve.”
For more information visit oportun.com . The notes were offered pursuant to Rule 144A under the Securities Act of 1933, as amended.
This press release does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
About Oportun
Oportun (Nasdaq: OPRT) is a mission-driven financial services company that puts its 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 $20.3 billion in responsible and affordable credit, saved its members more than $2.4 billion in interest and fees, and helped its members set aside an average of more than $1,800 annually. For more information, visit
Oportun.com
.
Investor Contact
Dorian Hare
(650) 590-4323
[email protected]
Media Contact
Michael Azzano
Cosmo PR for Oportun
(415) 596-1978
[email protected]
