
KBRA has assigned preliminary ratings to four classes of notes issued by Lendbuzz Securitization Trust 2025-1 (LBZZ 2025-1), an auto loan ABS transaction. The preliminary ratings reflect the initial credit enhancement levels ranging from 22.20% for the Class A notes to 5.75% for the Class C notes. Credit enhancement on the notes is comprised of overcollateralization, subordination of junior note classes (except for the Class C notes), a cash reserve account funded at closing, and excess spread.
LBZZ 2025-1 is Lendbuzz Funding LLC’s first term ABS securitization in 2025 and the ninth overall. LBZZ 2025-1 will issue four classes of notes totaling $261.9 million. At closing, this transaction will consist of approximately $250.0 million receivables, with an expected collateral balance of $275.0 million after completion of the one-month prefunding period. LBZZ 2025-1 will be collateralized by a pool of retail automobile contracts made to obligors and secured by new and used automobiles, light duty trucks, and vans.
Lendbuzz is a car financing company established in 2015, headquartered in Boston, Mass., with a research division based in Tel Aviv, Israel.