NewtekOne Eliminates $185 Million Credit Lines, Shifts C&I Loans to Deposit Funding
NewtekOne’s subsidiary Newtek ALP Holdings has paid off and will terminate its Capital One and Deutsche Bank credit facilities, reducing combined balances of $185 million to zero. The bank subsidiary will fund longer amortizing C&I loans via deposits and maintain regular securitizations, including its largest rated issuance NALP 2026-1.
1. Full Payoff and Termination of Credit Facilities
Newtek ALP Holdings has paid its Capital One facility in March and reduced the Deutsche Bank facility to zero, eliminating combined outstanding credit lines of $185 million. The remaining DB facility is expected to be formally terminated by the end of April.
2. Shift to Deposit-Funded C&I Loan Origination
Going forward, Newtek Bank, N.A. will originate longer amortizing C&I loans and fund them using customer deposits, replacing third-party credit facilities. This approach is intended to lower funding costs and streamline the balance sheet.
3. Largest Rated Securitization Completed
In January 2026, the company completed the NALP Business Loan Trust 2026-1 securitization, its fourth asset-backed deal for C&I LA loans and 17th rated issuance overall. This transaction marked the largest rated securitization in NewtekOne’s history, underscoring growth in its loan securitization program.