KBRA Assigns Preliminary Ratings to Pagaya AI Debt Grantor Trust 2026-R3 and Pagaya AI Debt Trust 2026-R3
KBRA assigns preliminary ratings to 10 classes of notes issued by Pagaya AI Debt Grantor Trust 2026-R3 and Pagaya AI Debt Trust 2026-R3, collectively “PAID 2026-R3,” an unsecured consumer loan ABS transaction. PAID 2026-R3 has initial hard credit enhancement levels ranging from 63.60% for the Class A Notes to 8.45% for the Class F Notes. Credit enhancement is comprised of overcollateralization, subordination, except for the Class F Notes, cash reserve accounts funded at closing, and excess spread.
PAID 2026-R3 will issue 11 classes of notes totaling $455.430 million, with KBRA rating all classes of notes except the Class FR Securities, and the Certificates.
Pagaya Structured Products LLC, the sponsor and administrator, is a wholly owned subsidiary of Pagaya US Holding Company LLC, formerly known as Pagaya Investments US LLC, which is 100% owned by Pagaya Technologies Ltd. (“Pagaya Technologies”), an Israeli corporation listed on the NASDAQ under ticker PGY. Pagaya Technologies is a technology company that deploys data science and proprietary AI-driven technology for credit analysis in the lending marketplace. This transaction is the 69th publicly rated securitization sponsored by Pagaya Structured Products LLC.
