RADNOR, Pa.–JGWPT Holdings, Inc. (“JGWPT”) (NYSE:JGW) today announced that it has issued, through JGWPT XXXI LLC, $233,943,000 of Fixed Rate Asset Backed Notes. The notes will primarily be collateralized by payments from a pool of rights arising under court ordered structured settlement payment purchase contracts, court ordered lottery payment purchase contracts and annuity contracts originated by the J.G. Wentworth and Peachtree Financial Solutions companies.
“This represents the 38th securitization for JGWPT and its predecessors, and like our ABS transactions in 2013, this transaction included lottery receivables, which we will continue to include in future transactions,” said Stefano Sola, JGWPT’s Executive Vice President and Chief Investment Officer. “The current market volatility surrounding interest rates underlines the attractiveness of our asset class to institutional investors who seek predictable and consistent returns. We saw very strong demand from institutional investors for both classes of our bonds – announcing and pricing this deal within a 72-hour window after starting the pre-marketing process.”
“This placement demonstrates the robust demand for our asset-backed program,” said David J. Miller, JGWPT’s Chief Executive Officer. “If these market conditions continue, we expect to complete two additional securitizations this year.”
The issue consists of two classes of placed notes: $212,167,000 Class A Fixed Rate Asset Backed Notes that will pay 3.96%, and $21,776,000 Class B Fixed Rate Asset Backed Notes that will pay 4.94%. The notes will be rated AAA (DBRS) and Aaa (Moody’s); and BBB (DBRS) and Baa2 (Moody’s), respectively.
Barclays was the sole structuring advisor and was joined by Credit Suisse as joint book-running manager. Deutsche Bank Securities and Natixis acted as co-managers.
This release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of securities in any State in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State.
Certain statements in this press release constitute “forward-looking statements.” Statements preceded by, followed by or that otherwise include the words “believes”, “expects”, “anticipates”, “intends”, “projects”, “estimates” and “plans” and similar expressions or future or conditional verbs such as “will”, “should”, “would”, “may” and “could” are generally forward-looking in nature and not historical facts. Any statements that refer to expectations or other characterizations of future events, circumstances or results are forward-looking statements.
Consideration should be given to the areas of risk set forth under the heading “Risk Factors” in our filings with the Security and Exchange Commission (the ‘SEC”), including our registration statement on Form S-1 for our initial public offering, as filed with and declared effective by the SEC on November 8, 2013, and in our other filings made from time to time, in connection with considering any forward-looking statements that may be made by us and our business generally. Except for our ongoing obligations to disclose material information under the federal securities laws, we undertake no obligation to release publicly any revisions to any forward-looking statements, to report events or to report the occurrence of unanticipated events unless we are required to do so by law.
About JGWPT Holdings Inc.
JGWPT focuses on key sectors, including structured settlement payment purchasing, annuity payment purchasing, lottery payment purchasing and pre-settlement funding. Through our two market-leading and highly-recognizable brands, J.G. Wentworth and Peachtree Financial Solutions, we have purchased over $9.5 billion of future structured settlement payment streams from our customers.
For more information about JGWPT, visit www.jgwpt.com or use the information provided below.