KeyBank Sells Indirect Auto Loan Portfolio

By Staff Writer September 14, 2021

KeyCorp announced this week that KeyBank has sold its indirect retail auto loan portfolio and that KeyCorp has entered into an accelerated share repurchase program. KeyBank is the primary subsidiary of KeyCorp.

On Sept. 10, KeyBank sold its $3.2 billion indirect retail auto loan portfolio to a wholly owned subsidiary of Waterfall Asset Management LLC. Concurrently with the sale, KeyBank purchased $2.8 billion of senior notes from a securitization collateralized by the sold loans. KeyBank will remain the servicer of the auto loans.

“We are committed to returning capital to our shareholders and our share repurchase program is an important part of that commitment,” said Don Kimble, chief financial officer of KeyCorp. ”The ASR transaction, which was aided by the capital generated from the sale of the indirect retail auto loan portfolio, further demonstrates our commitment to maximizing shareholder value.”

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Last modified on Wednesday, 15 September 2021 00:01