KBRA UK to Withdraw Ratings for Berg Finance 2021 DAC Following Repayment

KBRA UK expects to withdraw its ratings on Berg Finance 2021 DAC following the full repayment of the underlying Sirocco loan on June 12, 2026. According to the agency, the associated notes are expected to be repaid on July 22, 2026, resolving a previous non-payment Event of Default.

Why is KBRA withdrawing the ratings?

The rating agency is moving toward withdrawal because the underlying debt has been cleared. An RIS notification published June 12, 2026, confirmed that the Sirocco loan was repaid in full on that date.

KBRA expects the final step to occur after the notes are repaid on the scheduled payment date of July 22, 2026.

Did You Know? KBRA is a full-service credit rating agency registered in the U.S., EU, and UK, and serves as a Designated Rating Organization for structured finance ratings in Canada.

How did the loan enter special servicing?

The assets faced instability when the borrower failed to repay the outstanding loan balance at its scheduled final maturity on April 15, 2026. KBRA identified this failure as a non-payment Event of Default.

This default led to the transfer of the Sirocco loan into special servicing. As a result, KBRA placed all outstanding classes of Berg Finance 2021 DAC on “Watch Developing” on April 17, 2026.

Expert Insight: Samantha Carter suggests that the transition from a “Watch Developing” status to full repayment demonstrates the completion of the recovery process following the April default. The resolution of the special servicing phase allows the agency to close out the rating file.

What happens next for Berg Finance 2021 DAC?

The primary remaining milestone is the note payment date on July 22, 2026. If the notes are repaid as expected, KBRA is likely to finalize the withdrawal of its ratings.

Jim Nadler and Eric Thompson on KBRA's Structured Finance Successes

This sequence of events would effectively close the credit cycle for these specific outstanding classes.

Frequently Asked Questions

When was the Sirocco loan repaid?
The loan was repaid in full on June 12, 2026, according to an RIS notification.

Why was the loan placed on “Watch Developing”?
KBRA took this action on April 17, 2026, after the borrower failed to repay the loan balance at maturity on April 15, 2026, causing a transfer to special servicing.

When are the notes expected to be repaid?
The notes are expected to be repaid on July 22, 2026.

How do credit rating “Watch” periods typically influence investor expectations during loan defaults?