Avtech Capital completed its inaugural asset-backed securitization, AVT 2026-1. The transaction had an aggregate value of $141 million, consisting of four classes of notes. The senior tranche received a AAA (sf) rating from Kroll Bond Rating Agency.
The issuance is backed by a portfolio of commercial equipment leases spanning a diverse array of industries and equipment types. The transaction generated demand from institutional investors and was significantly oversubscribed.
Capital One Securities (a non-bank affiliate of Capital One) served as sole structuring agent and sole bookrunner. Chapman and Cutler acted as legal counsel to Avtech and the issuer.
“With the completion of AVT 2026-1, we’ve reached an important milestone for our platform,” Chris Scharman, CEO of Avtech, said. “We appreciate the strong reception from the institutional investor community, which reflects the quality of our origination, underwriting and servicing capabilities. Our participation in the securitization market supports Avtech’s ability to continue scaling and delivering effective equipment financing solutions to customers across the U.S.”
Chris Emery, president of Avtech, added, “We are proud of this inaugural issuance and grateful to our banking partners, legal counsel and third-party providers for their support in executing a successful transaction.”
Eric Shea, senior managing director and head of structured products at Capital One Securities, said, “Capital One Securities was pleased to partner with Avtech Capital on its inaugural ABS transaction. This successful issuance demonstrates the market’s confidence in Avtech’s management team and platform, and we look forward to supporting their future growth.”
