Press Release|Structured Credit
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KBRA Affirms Four Ratings and Upgrades Two Ratings for Maranon Loan Funding 2020-1, Ltd.

29 Sep 2025   |   New York

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KBRA affirms the ratings on the Class A Notes, Class A-L Loans, Class B-1 Notes, and Class B-2 Notes, and upgrades the ratings on the Class C Notes and Class D Notes issued by Maranon Loan Funding 2020-1, Ltd.

Maranon Loan Funding 2020-1, Ltd. is a $206.4 million cash flow CLO managed by Maranon Capital, L.P. The notes were collateralized by a $350.0 million portfolio of middle market secured term loans to corporate borrowers at closing. The reinvestment period ended in January 2024 and the transaction has continued to amortize.

As of the September 2025 trustee report, the aggregate principal balance of the collateral obligations is $227.2 million, and the principal proceeds balance is $12.3 million. There are three defaulted obligations and no discount obligations in the portfolio. The transaction is in compliance with all portfolio profile tests other than the Maximum KBRA WARF and the S&P CDO Monitor Tests. Since KBRA's last review of the transaction in October 2024, the Class A/B Overcollateralization Ratio Test has increased to 192.7% from 160.6%. The current portfolio K-WARF is 3514, which represents a weighted average portfolio credit assessment of B-/CCC+.

The principal balance of the Class C Notes has been reduced to 40.0% of the original principal balance due to a cash sweep feature in the interest waterfall. The transaction also exited its reinvestment period in January 2024 and has been amortizing sequentially. As a result, credit enhancement for the Class C and Class D Notes has improved significantly.

To access ratings and relevant documents, click here.

Click here to view the report.

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Methodologies

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1011485