KAPITUS CLOSES $160 MILLION SECURITIZATION

December 17, 2019

NEW YORK, NY – Kapitus, a leading provider of financing to small and medium-sized businesses, today announced that it has closed its second asset-backed securitization (ABS) for $160 million. The facility, which has a 3-year revolving period, a 5-year legal final, and is expandable to $500 Million, was issued in three classes with the senior class earning a rating of “A (sf)” by Kroll Bond Rating Agency (KBRA). Guggenheim Securities served as sole structuring advisor and sole initial purchaser of the notes.

“The execution of our second securitization saw a significant increase in size over our inaugural $105 million issuance in June of 2018,” said Andrew Reiser, Chief Executive Officer of Kapitus. “This upsize demonstrates the sustainability of the asset class and reflects the market demand for our technology platform and funding processes.”

Through its proprietary technology, risk and underwriting models, Kapitus has provided small businesses with fast and efficient funding alternatives for nearly 14 years.

“The world of fintech is evolving to provide a larger suite of products to a more diverse group of businesses,” said Chief Operating Officer of Kapitus, Ben Johnston. “Our latest securitization allows us to grow with our customers while expanding the financing options available to them.”

About Kapitus

Founded in 2006 and headquartered in NYC, Kapitus has been recognized by customers and the industry as one of the most reliable and respected names in small business financing. With flexible financing options, Kapitus provides small businesses with the working capital they need to take advantage of opportunities and grow. Since its founding, Kapitus has provided small businesses over $3.0 billion in funding. To learn more, visit www.kapitus.com.

The notes are not registered under the United States Securities Act of 1933, as amended (the “Securities Act”), or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from, or a transaction not subject to, registration requirements. The notes were offered only to qualified institutional buyers under Rule 144A and to persons outside the United States pursuant to Regulation S under the Securities Act. This press release shall not constitute an offer to sell, or the solicitation of an offer to sell the notes, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which, or to any person to whom, such an offer or solicitation or sale is unlawful.

###