Monroe Capital has entered into a $250 million forward flow partnership with Source One Financial Services LLC to originate and purchase consumer recreational vehicle and marine loans.
The transaction will be financed through a revolving credit facility secured with Canadian Imperial Bank of Commerce. Source One, a subsidiary of ECN Capital Corp. (TSX: ECN), will originate and service the loans. The new capital will support Source One’s ongoing growth in the RV and marine lending space.
“Source One is a proven partner with extensive underwriting capabilities and experience,” said Kyle Asher, co-head of Alternative Credit Solutions at Monroe Capital. “This investment directly highlights Monroe’s asset-backed finance expertise and our ability to source unique and high-quality specialty finance transactions.”
Founded in 1999, Source One maintains a broad network of RV and marine dealer relationships across the U.S. ECN Capital, through its subsidiaries, manages over $1.3 billion in its RV and marine segment.
“We are excited by our partnership with Monroe Capital,” said Steve Hudson, CEO of ECN Capital. “With this partnership, we continue to execute on our strategy to diversify and expand funding for Source One assets.”
This deal is part of Monroe’s Specialty Finance division under its Alternative Credit Solutions Group, which focuses on complex and asset-backed structured debt and equity transactions. In 2024, the group closed 19 transactions across a wide range of asset classes and geographies.
