“Closing
our
first

securitization
is
a
watershed
moment
for
Backflip
and
a
strong
endorsement
of
our
strategy,”
Richard
Porteous,
the
company’s
chief
investment
officer,
said
in
a
statement.

“Institutional
investors
recognized
the
value
of
our
vertically
integrated
approach.
By
controlling
the
entire
lifecycle
of
the
loan
—
from
origination
to
our
in-house
servicing
—
we
provide
a
level
of
data
integrity
and
asset
management
capability
that
is
differentiated
in
the
sector.”

The
company
said
the
transaction
will
lower
its
cost
of
capital
and
diversify
its
funding
sources
as
it
looks
to
scale
lending
to
residential

real
estate
investors
nationwide.
The
deal
was
unrated
and
drew
interest
from
a
range
of
institutional
buyers.

The
securitization
included
A1,
A2
and
M
classes
of
notes,
all
of
which
were
sold.
It
also
features
a
two-year
revolving
period
that
allows
repayments
to
be
reinvested,
providing
an
estimated
$300
million
in
additional
capacity.

Performance
Trust
Capital
Partners
LLC
was
the
structuring
agent,
bookrunner
and
initial
purchaser.

Mayer
Brown
LLP
represented
Backflip,
while

Morgan,
Lewis
&
Bockius
LLP
advised
Performance
Trust.

Setpoint
conducted
third-party
due
diligence
services.