North Mill Equipment Finance (NMEF), an independent commercial equipment lender, closed OAKEF 2026-1, a $355.8 million asset-backed securitization sponsored by funds managed by Oaktree Capital Management and serviced by NMEF.
The equipment finance assets collateralizing the securitization were acquired from Midland Equipment Finance in a transaction completed in November 2025 by NMEF and Oaktree. The AAA through single A rated offering was met with strong investor demand, achieving peak subscription levels of approximately 6.3x and enabling efficient execution across the capital stack, with a weighted average spread of 99 basis points and a weighted average yield of 4.7%.
Truist Securities served as lead structuring agent, with Deutsche Bank acting as co-manager on the transaction.
“This securitization highlights the strength of the underlying assets and the effectiveness of our partnership with North Mill,” Brendan Beer, portfolio manager for Oaktree’s asset-backed finance and structured credit platform, said. “We are pleased with the strong market reception, reflecting investor confidence in Oaktree’s approach to the equipment sector. We appreciate North Mill’s collaboration and look forward to continuing our partnership in pursuing differentiated asset-backed investment opportunities for our clients.”
David Lee, chairman and CEO of NMEF, said, “NMEF was pleased to assist our partner Oaktree in achieving their financing objectives. This execution underscores the quality of the assets and the strength of our servicing platform.”
NMEF will continue to act as primary servicer for the assets included in the transaction, providing ongoing portfolio management and operational support.
