On Deck Capital Inc. closed a $200 million asset-backed revolving debt facility with Credit Suisse.
Subject to borrowing conditions, the company may now obtain funding under the facility by accessing $125 million of committed capacity and an additional $75 million of capacity available at the discretion of the lenders.
Under the facility, loans will be made to OnDeck unit Prime OnDeck Receivable Trust II LLC, or PORT II, to finance its purchase of small business loans from OnDeck. The revolving pool of such loans serves as collateral under the facility and On Deck is acting as the servicer for these loans.
OnDeck intends to initially use a portion of the credit facility, together with other available funds, to optionally prepay in full without penalty or premium, Prime OnDeck Receivable Trust LLC's existing $100 million facility, scheduled to expire in June 2017. Consequently, OnDeck could obtain additional funding capacity through December 2018.