DALLAS, Sept. 23, 2020 (GLOBE NEWSWIRE) -- Tricolor, a Community Development Financial Institution (CDFI) and the nation’s largest used vehicle retailer focusing on the sale and financing of vehicles to the Hispanic consumer, today announced its sixth securitization, an issuance of $167 million of asset-backed bonds secured by a pool of its installment loans. The portfolio included loans originated by Tricolor’s affiliate company, Ganas Auto Group, which operates in California.
The Class A and Class B bonds were placed with a diversified mix of institutional investors in a private offering pursuant to Rule 4(a)(2) under the Securities Act of 1933, as amended. JPMorgan Chase & Co. served as the Investment Advisor and Representative of the Purchasers.
“Tricolor’s use of technology to help financially underserved borrowers gain access to a high-quality vehicle and affordable financing even amidst these turbulent times stands out within the capital markets,” said Tricolor Holdings CEO Daniel Chu. “We are grateful to our consumers for their outsized role as essential workers on the front lines of the pandemic over the last six months. In return, we remain committed to innovating on their behalf to help all low-income individuals bridge the economic inequality gap in America.”
According to the Consumer Financial Protection Bureau (CFPB), 26 million people in the United States are “credit invisible” and an additional 19 million are “unscoreable,” corresponding to a total of 45 million people in the United States whose lack of a credit score translates into limited options in terms of accessing financing for a major purchase such as a motor vehicle.
Tricolor empowers its customers by providing access to affordable financing on high quality, certified vehicles in order to enhance the quality of their lives and ultimately help them to build a better future. Since its founding in 2007, the company has served over 65,000 customers and disbursed over $1 billion in affordable auto loans by using its proprietary model to segment risk.
Tricolor issued its first securitization in July 2013.
This press release does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
For more information about Tricolor and Ganas, please visit tricolor.com and ganas.com.
About Tricolor
Tricolor is a Community Development Financial Institution (CDFI) and mission-driven company which sells and finances high quality, certified used motor vehicles through its premium brands, Tricolor Auto Group in Texas and Ganas Auto Group in California, utilizing advanced data analytics and technology to advance financial inclusion to a highly underserved market and offer responsible, affordable, credit-building auto loans to individuals with no or limited credit history.
Headquartered in Dallas, Tricolor and its affiliate Ganas Auto Group operate 38 retail dealerships across 12 markets in Texas and California, as well as a shared services center in Guadalajara, Mexico. On a combined basis, Tricolor and Ganas have served over 65,000 customers and disbursed over $1 billion in affordable auto loans by using its proprietary model to segment risk.
CONTACT INFORMATION
Stephanie Hicks
Cosmo PR for Tricolor
(805) 295-9455
stephanie@cosmo-pr.com