Loan & DebtMay 11, 2026, 06:08 PM
Sezzle Secures New $300M Funding Facility at SOFR + 3.86%
AI Summary
Sezzle Inc. announced a new $300 million receivables funding facility with Mesirow Alternative Credit, which also includes a $75 million accordion feature. This new facility replaces and expands upon the previous $225 million committed facility, effectively doubling the original $150 million commitment. The refinancing significantly lowers Sezzle's cost of capital to SOFR plus 3.86%, a nearly 290 basis point reduction, and increases the advance rate to up to 92.5% of eligible receivables. This strategic move is expected to support the company's continued growth by providing efficient and flexible funding.
Key Highlights
- Secured new $300 million receivables funding facility with Mesirow Alternative Credit.
- Facility includes a $75 million accordion feature, expanding total capacity.
- Interest rate reduced to SOFR + 3.86%, a 290 basis point reduction.
- Advance rate increased to up to 92.5% of eligible receivables.
- The new funding facility has a term of 3 years.
- Minimum utilization requirement reduced to $50 million from $60 million.