Kirkland Predicts Strong ABS Issuance in 2025 in Asset-Backed Alert
Asset-Backed Alert’s “2025 Forecasts of ABS Issuance” credited Kelly Mellecker for predicting approximately $335 billion in U.S. Rule 144A asset-backed securities issuance this year, which is in line with other industry experts who foresee a similar increase over last year’s record-breaking mark of $319 billion.
Kirkland’s Structured Finance & Structured Private Credit team saw strong activity across the market in 2024 and expects deal volume in the new year to remain robust across whole-business securitization, digital infrastructure securitization and structured private credit transactions — especially given the expected private credit pipeline and anticipated Rule 144A issuance volume.
In the second half of 2024, the Structured Finance & Structured Private Credit team helped clients close transactions across product types, including:
- Seven esoteric ABS offerings (from whole business securitizations backed by franchise royalties to securitizations backed by timeshare loans and oil & gas assets)
- Eight CLO offerings and several related CLO warehouse financing facilities (in just the fourth quarter)
- A variety of bespoke financings for fund clients from credit risk transfers to rated noted feeder programs
- Several liability management transactions involving existing or new trade receivables facilities or intellectual property monetization facilities
- Numerous traditional ABS offerings in the auto, equipment and dealer floorplan spaces
This range of deals highlights the diversity of structured financing solutions available heading into what’s anticipated to be a very active 2025.
