A company that writes loans to small and mid-size businesses is talking to investors about a potential securitization.

If it moves forward with the effort, Austin-based CrowdOut Capital would start by privately placing deals with single buyers in 2019. The offerings eventually could take the form of asset-backed securities or collateralized loan obligations.

CrowdOut, which formed in 2015, so far has been employing a marketplace-lending strategy in which it sells its accounts mostly to family offices and asset managers. But some investors recently have told the firm that they would prefer to take exposures to its accounts through securitizations, chief executive Alexander Schoenbaum said.

See full article: Business Lender Engaging Investors (Asset-Backed Alert)


Alexander Schoenbaum, CEO of CrowdOut Capital.