SALT LAKE CITY — Prestige Financial Services Inc. completed its seventh rated term securitization, issuing $140.5 million in notes backed by $151.1 million in subprime automobile installment loans. Underwritten by BB&T Capital Markets, the notes were purchased in a private offering, with the transaction closing on Dec. 10.

The two note classes carried Standard & Poor’s ratings of A and BBB, which were based on several factors, including Prestige’s proven track record as a loan originator and servicer. The securitization did not require investor reliance on the Federal Reserve’s Term Asset-Backed Securities Loan Facility (TALF), and the company believes this to be just the second transaction of its kind to succeed in the market since May 2008.

“This is an outstanding ABS execution by an outstanding issuer in what remains a challenging economic environment," says Andrew Yuder, managing director at BB&T Capital Markets. "Investor demand exceeded supply on both note classes, demonstrating the strong market receptivity and liquidity of Prestige's receivables. This transaction reasserted the company's presence at the forefront of the subprime auto ABS sector."

Prestige provides consumer financing solutions for automobile dealerships in 13 states. Founded in 1994, as an affiliate of The Larry H. Miller Group of Companies, Prestige employs more than 250 credit professionals and support staff to service a wide range of borrower types, and is recognized throughout the industry for its innovative lending programs. Quadrant Financial Group advised the company on this most recent securitization.

 “We appreciate the enthusiastic support of both new and repeat investors that ultimately led us to upsize the note offering," observes Prestige COO Bryant Henrie. “This important transaction is a testament to the skill and dedication of our employees, and will allow us to continue to serve our customers at a very high level.”