Kirkland Advises Centerbridge Partners on Acquisition of $400 Million Consumer Loan Portfolio from Upstart

Kirkland & Ellis represented funds advised by leading global alternative investment firm Centerbridge Partners, L.P. in the acquisition of a $400 million consumer loan portfolio from Upstart (NASDAQ: UPST), an AI lending marketplace. The portfolio consists of consumer loans that Upstart previously held on its own balance sheet. Goldman Sachs Bank USA and certain affiliates arranged and provided debt financing for the transaction.

Centerbridge is a private investment management firm employing a flexible approach across investment disciplines — private credit, private equity and real estate — in an effort to develop the most attractive opportunities for its investors. The Firm was founded in 2005 and, as of June 30, 2024, has approximately $38 billion in capital under management with offices in New York and London. Upstart connects millions of consumers to more than 100 banks and credit unions that leverage Upstart’s AI to approve more borrowers at lower rates, while delivering the exceptional digital-first experience that customers demand. More than $38 billion in loans have been originated on Upstart’s platform since its inception in 2012.

The Kirkland team was led by structured finance partners Joel Weinberger and Jeffrey O’Connor and associates Casper Howells, Emily Castro and David Kobray; and tax partner Thomas Evans.