Leonard Klingbaum Discusses the Growing Appeal of Asset-Backed Securitizations for Infrastructure Funding Amid AI Boom

Stressed companies are increasingly turning to asset-backed securitizations to fund infrastructure projects, especially in the rapidly growing AI sector according to a recent article published by 9fin.

“One of the reasons why securitization deals have been more popular is because most credit documents have permitted baskets for securitizations that are for the most part flexible on the dollar amount,” said Leonard Klingbaum, co-head of Ropes & Gray’s global finance group. This flexibility has made these types of transactions an increasingly attractive option for companies seeking to finance large-scale, capital-intensive projects in the AI sector.

Ropes & Gray’s finance and securitization practices are consistently ranked among the world’s best, and have recently received practice-wide and individual lawyer recognition in Chambers USA, The Legal 500, and U.S. News. In the securitization space, our lawyers are known for their expertise in asset-backed securitization transactions that are backed by alternative assets, an area of growing importance as the AI infrastructure boom accelerates.