Hana Commercial Finance, Inc., the factoring and trade finance subsidiary of Hana Financial, Inc., announced that it has closed a new factoring credit facility through the issuance of $100 million of Series 2019-1 Factoring Contract Backed Notes. The offering was fully subscribed.

The Series 2019-1 Financing was issued from a special purpose vehicle, Hana Financial SPV I, LLC, which is a multi-tranche facility with four classes of term notes totaling $80 million and four classes of variable funding notes totaling $20 million. The Series 2019-1 Financing also includes an accordion feature, which will enable HCFI to increase the total facility size to $300 million at the discretion of HCFI.

Kroll Bond Rating Agency (KBRA) assigned “A” for the top-rated tranches, which represent 68% of the pool, and the remaining tranches were assigned ratings of “BBB”, “BB” and “B”.

Guggenheim Securities, LLC acted as sole structuring agent, sole placement agent of the variable funding notes and sole initial purchaser of the term notes. Jeffer, Mangels, Butler & Mitchell, LLP acted as legal counsel for the borrower, Alston & Bird LLP acted as legal counsel for the placement agent and initial purchaser. For the new credit facility, CBIZ MHM, LLC will act as note agent, and Wells Fargo Bank, N.A. will act as custodian, backup servicer and note agent’s bank.