KAR Announces Securitization for AFC Canada
CARMEL, Ind. — Automotive Finance Canada, which is the Canadian floor plan finance subsidiary of KAR Auction Services, recently entered into a securitization facility with a Canadian multi-seller conduit administered by an affiliate of a Canadian bank.
Thanks to this securitization, AFC Canada can access up to $75 million (CAD) in financing for loans to Canadian auto dealers.
Officials noted that $56.6 million in net proceeds were generated via this transaction.
Half of that amount went toward a prepayment on the company's Term Loan B debt in accordance with its senior secured credit agreement.