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KBRA Assigns Preliminary Ratings to PG Receivables Finance LP, Series 2019-1

November 14, 2019

NEW YORK--(BUSINESS WIRE)--Nov 14, 2019--

Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to the two classes of Notes issued by PG Receivables Finance LP, Series 2019-1. This is a $80 million receivables transaction.

This is the first 144a offering serviced by the Pluczenik Diamond Company, NV (“PDC”, or the “Servicer”, or the “Seller”). PDC is a subsidiary of the Pluczenik Group, one of the world’s leading diamantaires. Founded over 70 years ago, and family owned and operated since, the Pluczenik Group is active in the mid-stream diamond market, from rough diamond cutting and polishing to importing, exporting and wholesaling. The Pluczenik Group is one of the world’s oldest and largest diamond companies operating in this segment of the market today. The Pluczenik Group is one of only a small number of diamantaires that is a sightholder with the two leading diamond mining companies in the world, De Beers and ALROSA. This affords it the ability to purchase directly from these companies.

The collateral for the transaction will be secured by a security interest granted by the Issuer to the Indenture Trustee, in all of the Issuers’ right, title or interest, owned or acquired, in all receivables, the credit insurance policy and any bank accounts established for the benefit of the noteholders. The transaction features a borrowing base concept whereby the outstanding note balance for each class must be equal to or less than the respective advance rate. The advance rates are calculated against an adjusted collateral balance that only gives credit to eligible receivables below the concentration limits and not more than 60 days past due. Failure to comply with the borrowing base test for 10 consecutive business days results in an Amortization Event.

The Class A Notes and Class B Notes have an anticipated repayment date (“ARD”) of 4 years from the initial anticipated closing date. If any class of Notes is not fully refinanced on or prior to the ARD, all excess cash flow is applied to pay down both classes of Notes sequentially. No amortization is required for the Notes prior to the ARD; however, the borrowing base mechanism is designed to ensure that the transaction maintains sufficient collateral coverage for noteholders at all times.

To access ratings, reports and disclosures, click here.

Related Publications: (available at www.kbra.com )

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About KBRA and KBRA Europe

KBRA is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider, and is a certified Credit Rating Agency (CRA) by the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe Limited is registered with ESMA as a CRA.

View source version on businesswire.com:https://www.businesswire.com/news/home/20191114005581/en/

CONTACT: Analytical Contacts:

John Lampasona, Director

(646) 731-2318

jlampasona@kbra.com

Rosemary Kelley, Senior Managing Director

(646) 731-2337

rkelley@kbra.com

Lenny Giltman, Senior Managing Director

(646) 731-2378

lgiltman@kbra.com

Shalin Rajpara, Senior Analyst

(646) 731-3337

srajpara@kbra.com

Business Development Contact:

Ted Burbage, Managing Director

(646) 731-3325

tburbage@kbra.com

KEYWORD: NEW YORK UNITED STATES NORTH AMERICA

INDUSTRY KEYWORD: BANKING PROFESSIONAL SERVICES FINANCE

SOURCE: Kroll Bond Rating Agency

Copyright Business Wire 2019.

PUB: 11/14/2019 10:55 AM/DISC: 11/14/2019 10:55 AM

http://www.businesswire.com/news/home/20191114005581/en