March 21, 2023


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KBRA Assigns Preliminary Ratings to Maranon Loan Funding 2021-1, Ltd.

NEW YORK–(BUSINESS WIRE)–Kroll Bond Rating Agency (KBRA) assigns preliminary ratings to seven classes of notes and one class of loans issued by Maranon Loan Funding 2021-1, Ltd., a cash flow collateralized loan obligation (CLO) back by a diversified portfolio of middle market corporate loans.

Maranon Loan Funding 2021-1, Ltd. is managed by Maranon Capital, L.P. (Maranon or the collateral manager) and will have a four-year reinvestment period. The legal final maturity is on April 15, 2034. The ratings reflect initial credit enhancement levels, excess spread, and coverage tests including overcollateralization ratio and interest coverage tests.

The collateral will mainly consist of middle market leveraged loans issued by corporate obligors diversified across sectors. The target portfolio par amount is $400 million with exposure to 78 obligors. The obligors in the portfolio have a K-WARF of 3053, which represents a weighted average portfolio credit assessment of approximately B-.

Maranon Capital, L.P. is a private credit and CLO manager established in 2007 and subsidiary of Eldridge Industries, LLC. As of December 2020, Maranon has raised approximately $5.5 billion in private credit capital, including $2 billion across five U.S. middle market CLOs.

The preliminary ratings on the Class A-R-1 Notes, A-L-R Loans, A-R-2 Notes, B-R-1 Notes, and B-R-2 Notes consider the timely payment of interest and ultimate payment of principal by the applicable stated maturity date, while the preliminary ratings on the Class C-R, D-R, and E-R Notes consider the ultimate payment of interest and principal.

KBRA analyzed the transaction using Structured Credit Global Rating Methodology and the Global Structured Finance Counterparty Methodology.

Click here to view the report. To access ratings and relevant documents, click here.


Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority pursuant to the Temporary Registration Regime. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.