(Cedar Rapids, IA) – GreatAmerica Financial Services Corporation completed its 18th term securitization of $612.2M in privately placed bonds with institutional investors. GreatAmerica uses proceeds from its securitizations to pay off debt in its warehouse and credit facilities to support continuous growth.
"This transaction represents our largest securitization to-date and is a testament to the strength and consistency of our growth and our portfolio performance," said GreatAmerica Chairman and Chief Executive Officer Tony Golobic. "We are very pleased to have such high demand for our bond issuance, including from several new investors."
Investor demand was three times greater than the amount offered, with nearly $2.0B of orders for $612.2M in bonds. All told, 56 orders were placed among 35 unique investors, seven of whom participated for the first time. Additionally, 93.4% of the bonds issued were rated AAA.
GreatAmerica is a regular issuer of bonds in the asset-backed securities market, placing more than $6.2B since 1995. According to S&P Global Ratings presale report, "GreatAmerica is distinct from many other small-ticket leasing companies in that it has continued to grow its portfolio, even during downturns in the economic cycle. . ." Similarly, the Fitch presale report noted GreatAmerica strengths as "strong and consistent earnings in terms of both ROA and ROE over the past decade and through periods of economic downfall; GreatAmerica's experience as servicer on prior transactions; and consistency of operating performance and asset quality."
GreatAmerica is among the largest independent small ticket national commercial equipment finance companies in the U.S. and is dedicated to helping manufacturers, distributors, and dealers be more successful and keep their customers for a lifetime. A family-owned business, GreatAmerica was established in Cedar Rapids, Iowa in 1992 and today is organized into eight business units. It has a staff of over 500 employees with offices in Georgia, Minnesota, and Missouri. GreatAmerica also offers innovative non-financial business services to help their customers grow. www.greatamerica.com
Matt Doty, VP Corporate Communications | firstname.lastname@example.org | 319.261.4188
Matt Doty, GreatAmerica Vice President Corporate Communications, is responsible for maintaining image execution and brand continuity throughout the company. This includes written and verbal communications with internal and external audiences and overall strategic and tactical marketing activities.