Sallie Mae Successfully Prices First Student Loan ABS of the Year

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Key Terms

asset-backed securities (abs) financial

Securities created by bundling loans or other cash-generating contracts and selling shares of the bundle’s future payments to investors; think of it as turning a pile of mortgages, car loans or credit-card bills into a product you can buy. They matter because they offer a way to earn regular income and diversify holdings, but the payments and safety depend on how well the underlying borrowers pay and on the deal’s legal structure, so risk can vary widely.

03/03/2026 - 07:10 PM

NEWARK, Del.--(BUSINESS WIRE)-- Sallie Mae (Nasdaq: SLM), formally SLM Corporation, today announced the successful pricing of the first student loan asset-backed securities (ABS) transaction of the year by Sallie Mae Bank. The $618 million transaction was met with robust investor demand following its formal announcement earlier this week, resulting in broad distribution across a diverse institutional investor base.

Investor engagement throughout the marketing process validated the continued attractiveness of seasoned private education loan assets supported by Sallie Mae’s underwriting, servicing, and performance track record. The transaction’s pricing strength underscores the demand for high-quality collateral even in volatile market conditions.

“This transaction demonstrates strong investor demand, confidence in our private student loans, and in our credit performance funding strategy,” said Pete Graham, Chief Financial Officer, Sallie Mae. “Achieving tighter pricing than our last on-balance sheet ABS deal despite ongoing market dislocation underscores the strength of our platform, and the durability of student loans as an asset class.”

The successful pricing supports Sallie Mae’s diversified funding approach and reinforces its position as a programmatic issuer in the student loan ABS market.

For more information, visit Salliemae.com.

Sallie Mae (Nasdaq: SLM) believes education and life-long learning, in all forms, help people achieve great things. As the leader in private student lending, we provide financing and know-how to support access to college and offer products and resources to help customers make new goals and experiences, beyond college, happen. Learn more at SallieMae.com. Commonly known as Sallie Mae, SLM Corporation and its subsidiaries are not sponsored by or agencies of the United States of America.

Category: Corporate and Financial