MPOWER Financing, a mission-driven fintech firm specializing in international student loans, has completed its first private student loan securitization, a $100.5 million transaction with a private buyer.
This securitization is anticipated to be the first in a series of programmatic private financings for MPOWER, complementing its existing public asset-backed securitization (ABS) program. This strategy aims to further diversify the company’s funding channels and expand investor access to the emerging asset class of international student loans.
The securitized pool consists of U.
S. dollar-denominated, fixed-rate loans. These loans were extended to international graduate students, primarily those pursuing degrees in STEM and business at leading universities in the U.
S. and Canada, and also include international refinance loans.
Jatin Rajput, Chief Finance Officer at MPOWER Financing, stated that this private securitization marks “another inflection point in our capital markets journey.” He added, “Combined with our prior two public market securitizations, this inaugural private financing reflects the growing recognition among institutional investors that international students and skilled workers, particularly those in Graduate STEM, Business, or Health fields, are an attractive borrower segment.” The underlying assets offer the stability of graduate student loans with appealing risk-adjusted returns associated with international lending, while also contributing to portfolio diversification and social impact.
Manu Smadja, co-founder and Chief Executive Officer at MPOWER Financing, emphasized the company’s mission. He noted that 93% of MPOWER’s student borrowers report that their loan was critical for completing their education. Smadja commented, “This deal is not just about capital markets innovation; it’s about empowering talented students—often first-generation and from the Global South—to achieve their dreams, while also supporting universities in recruiting a more diverse student body and contributing to the U.
S. and Canadian economies.”This transaction follows MPOWER’s May 2025 securitization of $313.2 million in international student loans, which received ‘A’ ratings on its senior tranche from DBRS and KBRA. In aggregate, these capital market transactions represent over $600 million in securitized assets used to finance international student loans, enabling MPOWER to scale its rapidly expanding loan portfolio.
