Hilton Grand Vacations Inc. (NYSE: HGV) completed a $500 million securitization of timeshare loans through Hilton Grand Vacations Trust 2026-1, the company announced.

The trust issued four classes of notes with varying interest rates. Class A notes totaled approximately $210.2 million with a 4.67% coupon rate, Class B notes reached approximately $160.5 million at 5.01%, Class C notes comprised approximately $82.9 million at 5.36%, and Class D notes amounted to approximately $46.4 million at 7.21%.

The transaction achieved an overall weighted average coupon rate of 5.13% and an advance rate of 98%. The company stated proceeds will be used to pay down debt and for general corporate purposes.

"This $500 million transaction, executed at a 98% advance rate amid market volatility, reinforces the long-term cash flow generation of the business and positions us well for the year," said Dan Mathewes, president and chief financial officer.

Wells Fargo Securities served as structuring lead manager and joint bookrunner alongside BofA Securities, Barclays, Deutsche Bank Securities and Truist Securities. CIBC Capital Markets, Citizens Capital Markets, Goldman Sachs & Co. LLC, HSBC, MUFG, Regions Securities LLC and Drexel Hamilton served as co-managers.

The notes were offered through a private placement to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S. Certain transaction classes received ratings from Fitch Ratings and Moody's Investors Service.