KBRA Assigns Preliminary Ratings to KCG Securitization 2024-1, LLC

KBRA assigns preliminary ratings to two classes of notes (the “Notes”) issued by KCG Securitization 2024-1, LLC (“KCG 2024-1”).

Kalamata.com, LLC (“Kalamata”), through its subsidiaries, Kalamata Capital Group, LLC (“KCG”, the “Company” or “Servicer") and Black Olive Capital LLC (BOC), provides financing to small and medium-sized business through merchant cash advances and small business loans. Kalamata was founded in 2013 and has provided businesses with access to over $1 billion across over 13,000 fundings based on its proprietary risk scoring models, traditional underwriting, transactional data, and technology systems. Kalamata has approximately 62 employees with offices in Bethesda, MD and New York, NY.

KCG 2024-1 is the inaugural securitization for the Company. KCG Securitization 2024-1, LLC (the “Issuer”) will issue two classes of Series 2024-1 Notes, Class A and Class B Notes (collectively, the “Notes” or “KCG 2024-1”) totaling $80 million. The proceeds of the sale of the Series 2024-1 Notes will be used to purchase receivables, fund the reserve account, and pay related fees and expenses. The Series 2024-1 Notes are “expandable” term notes such that at any time during the Revolving Period, the Issuer may periodically issue additional Notes, up to a maximum amount of $500 million, as long as certain conditions are met, including receipt of Rating Agency Confirmation.

KCG 2024-1 is collateralized by Business Loans made to small-and medium-sized businesses (“Merchants”) and Business Advances purchased from Merchants at a discounted purchase price. A Business Advance is also commonly referred to as a Merchant Cash Advance (“MCA”).

To access rating and relevant documents, click here.

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Methodologies

• ABS: General Global Rating Methodology for Asset Backed Securities
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003554

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