Octane announced the completion of an agreement to sell a portfolio of $200 million of fixed-rate installment powersports loans to Yieldstreet, a leading private market investing platform. Yieldstreet received financing from J.P. Morgan to facilitate the transaction.
The portfolio of whole loans was newly originated by Octane’s in-house lender, Roadrunner Financial, and will be serviced by Octane’s in-house loan servicer, Roadrunner Account Services.
This is Octane’s third whole loan sale to Yieldstreet. In late 2023 and early 2024, Octane sold a total of $280 million of fixed-rate powersports loans to Yieldstreet via two transactions, the first of which was Octane’s first whole loan sale and Yieldstreet’s inaugural private credit facility. Octane has sold or entered into forward flow commitments of over $2.2 billion to-date.
“Yieldstreet has been a strong partner for Octane since the fourth quarter of 2023 and we are both pleased and grateful for their continued interest in, and commitment to, our business,” said Steven Fernald, president and chief financial officer at Octane. “We look forward to deepening our relationship with them as we continue to drive growth for dealers and OEMs with our innovative solutions and seamless, digital experience.”
“This transaction reinforces the strength of our longstanding relationship with Octane and shared commitment to excellence. Their robust underwriting and origination capabilities have made this a productive partnership totaling nearly $500 million so far. We look forward to future opportunities with Octane’s exceptional team as Yieldstreet continues to provide individual investors with broader access to attractive private markets investments previously limited to institutional capital,” said Fahd Basir, managing director and head of Yieldstreet’s credit investments.
“This transaction fuels our growth strategy by increasing our capacity to fund high-quality originations,” said Nick Makarov, senior vice president, capital markets at Octane. “We are excited about our partnership with Yieldstreet and the potential to expand investor access to our offerings through their leading private market platform.”
This announcement follows a period of significant momentum for Octane. The company recently surpassed $6 billion in aggregate originations and grew originations by 36% year-over-year in 2024.
