Commercial Equipment Finance (CEFI) closed a $90.9 million asset-backed security transaction. The company will use the proceeds to pay down existing warehouse lines and for general corporate purposes.

The transaction represents CEFI’s inaugural securitization. The deal includes four classes of equipment contract-backed notes, rated AA (sf) through BB (low) (sf) by DBRS Morningstar. KeyBanc Capital Markets (KBCM) acted as sole structuring agent and bookrunner for the transaction. In addition, Quadrant Financial Group acted as advisor to CEFI in arranging the transaction.

“This landmark financing is a true testament of CEFI’s business model, portfolio performance track record and experienced team. Accessing the capital markets was a goal envisioned upon founding the company and executing this accomplishment alongside the members of KBMC, Quadrant Financial Group, RiskOne Consulting, Chapman & Cutler LLP, O’Neill & Borges LLC and Avila Rodriguez Mena & Garro LLP was a great pleasure. As a Puerto Rico-based equipment finance and leasing entity, this milestone is significant to us and Puerto Rico’s business environment. ” Ricardo A. Rios, president and CEO of CEFI, said

“KBCM was pleased to broaden the relationship with CEFI beyond the credit facility provided by KeyBank Specialty Finance Lending and thrilled with the outcome and execution for CEFI’s inaugural securitization led by CEFI’s extraordinary management team. The company’s stellar experience, performance and growth in the commercial equipment leasing space will propel CEFI into becoming a programmatic ABS issuer,” Andrew Yuder, managing director and group head for asset-backed securitization at KeyBanc Capital Markets, said.