PGIM has committed to a three-year forward-flow facility with GreenSky and certain affiliates, expected to involve about $3 billion in consumer home improvement assets.
The transaction provides the GreenSky Program with long-term committed capital while expanding PGIM’s exposure to private asset-based finance backed by prime consumer collateral.
GreenSky operates what it describes as the largest dedicated point-of-sale home improvement lending platform in the U.S.
PGIM’s relationship with GreenSky spans both private asset-based finance and broadly syndicated securitization markets.
The transaction builds on PGIM’s broader push into asset-based financing tied to housing.
PGIM recently committed $4 billion to new land-banking projects with Domain Real Estate Partners.
PGIM’s securitized products platform has grown to approximately $175 billion and forms part of its $1.2 trillion credit investment platform.
The broader PGIM organization manages approximately $1.5 trillion.
GreenSky’s technology enables merchants to provide point-of-sale consumer financing. Since its inception, nearly six million consumers have financed approximately $70 billion of commerce through the GreenSky platform.
KEY QUOTES:
“Home improvement lending continues to stand out as a compelling segment within consumer credit. Additionally, the aging housing stock is driving increased demand for critical home infrastructure and improvements. We’re pleased to leverage our unique asset-based finance capabilities to provide the GreenSky Program with reliable capital to expand homeowners’ access to financing.”
Oliver Nisenson, Head Of Private Asset-Based Finance At PGIM
“PGIM’s flexible, scaled capital commitment represents an important step in expanding the GreenSky Program’s long-term capital needs, supporting continued growth across our platform.”
Dan Budington, CFO Of GreenSky
“This transaction highlights our ABF platform’s differentiated ability to deliver capital solutions at every stage of the housing value chain, including land banking, residential mortgage credit, and home improvement finance.”
Gabriel Rivera, Co-Head Of Securitized Products At PGIM
