IFR 02.29.2020

International Financing Review February 29 2020 43

BONDS SUMMARY DETAILS

Fitch said on February 17 that the

economic disruption caused by the

coronavirus outbreak in China will put

pressure on the performance of auto loan

ABS assets in the near term, but the impact

should be limited.

“The outbreak and strict restrictions

implemented for containing it are likely to

adversely affect employment rates and

disposable incomes in the near term,” it said.

“This could weaken borrowers’

serviceability and pressure loan

performance, resulting in higher

delinquency levels for auto loan ABS

transactions in the coming months, both as

a result of the virus itself and because few

new transactions are likely to be issued.

“It is too early to identify the magnitude

of any change in performance, however, we

do not expect defaults to increase

SIGNIlCANTLYûATûTHISûSTAGEv

BNP’s Lai said it is hard to predict the

severity of the impact from the epidemic on

China’s auto-loan ABS market at this stage

as it depends on how long it lasts and its

effects on the overall economy and business

growth.

However, BMW AFC’s offering showed

that ABS deals are one of the cheapest

FUNDINGûALTERNATIVESûFORûAUTOûlNANCEû

companies.

"-7û!&#ûISûAû3INO

FOREIGNûJOINTû

venture in which German automaker

Bayerische Motoren Werke owns a 58%

stake and BMW Brilliance Automotive

the remainder.

MS+16 area,

MS+16 area

• 
  

  
  

  US$1.4 bn Aaa/AAA/AAA Barc/GS/JPM/RBC EMEA 46%, Amers 42%, Asia 12%. Tsy
  50%, CB/OI 42%, AM 6%, Corp 2%.
  Sofr +29 area,
  Sofr +28 area

  
  

  
  


• 
  

  
  

  US$1.7bn Aaa/AAA/AAA Citi/HSBC/RBC/StCh/TD -

  
  

  
  

MS-8 area 2.5 €2.4bn Aa1/-/AAA Barc/CMZ/JPM EZ 49%, UK/Switz 31%, RoEur 14%, Asia

6%. BKs 44%, FM 37%, CB/OI 18%, Ins/

PF 1%.

MS+89 area,

MS+87 area

2.5 €17.9bn Baa1/A/A-/A Barc/BBVA/BNPP/CA-CIB/JPM/

Santan

Fr/It 36.1%, Ger/Aus/Switz 25.9%, UK/

Ire 14.2%, Sp 9.3%, RoEU 6.1%, Nordics

3.2%, ME 3.1%, US/Can 2%, Other 0.1%.

Ins/PF 56.7%, FM 20%, Tsy 14.9%, CB/

OI 3%, Bks 2.7%, HF 2.5%, Other 0.2%.

MS+7 - €540m -/-/AAA BLB/DB/DZ/Helaba/NordLB Ger 90.3%, Nordics 6.4%, Benelux 3.3%.

Ins/PF 50.5%, AM 22.7%, CB/OI 15.2%,

Bks 11.6%.

OATs +16 area - >€2.4bn Aa2/-/AA Barc/BNPP/CMZ/CA-CIB/SG -

• 
  
  
  
  • 
    
    
    
    • Aaa/AAA/AAA SEB -
      EFP+82.5/86.5 - - Aa1/AA+/AA Citi/DB/WBC Oz 75%, EMEA 12%, US 8%, Asia 5%.
      AM/Ins 63%, Bks 16%, OI 9%, Trading
      6%, HF 6%.
      EFP+68/72 - - Aaa/AAA CBA/NAB/UBS Oz 72%, Eur 16%, Asia 12%. AM 76%, Bks
      18%, Trading 4%, OI 2%.
    
    
    
    
  
  
  
  

MS+45/50,

MS+30/35

7 €800m A1/A+ ING/MUFG/Rabo -

MS+85/95,

MS+85/95

• 
  

  
  

  SFr200m, 44acs Ba2/BBB-/BBB CS/UBS Switz 100%. AM 69.5%, Ins 15%, PB
  14%, Tsy 1%, PF 0.5%.
  MS+120/130,
  MS+120/130

  
  

  
  


• 
  

  
  

  SFr140m, 57acs Ba2/BBB-/BBB CS/UBS Switz 100%. AM 62%, PB 31.5%, PF 3%,
  Tsy 3%, Ins 0.5%.

  
  

  
  


• 
  
  
  
  • 
    
    
    
    • Aa3/AA- ANZ -
    
    
    
    
  
  
  
  


• 
  
  
  
  • 
    
    
    
    • Baa2 Danske -
    
    
    
    
  
  
  
  

Low 5% area,

4.875% cpn

30 US$3bn Ba1/-/BBB- ING/MS/CS/GS/TD/Uni -

3mBBSW+295/315 - - -/BBB- NAB/MS/Morgans//UBS/WBC/

OrdMin

• 
  


• 
  
  
  
  • 
    
    
    
    • 
      
      
      
      • Nordea/SEB -
      
      
      
      
    
    
    
    
  
  
  
  

Pricing steps NIP (bp) Book size Ratings Bookrunners Distribution

6 IFR Bonds 2322 p 25 - 43 .indd 43 28 / 02 / 2020 19 : 15 : 33