Ceres Capital's long-awaited structured investment vehicle (SIV) should launch sometime this fall at a notional value of about $1 billion, according to industry sources.
Granite Funding, the ABCP administered by Ceres and Bankers Trust, is in the process of being wound into the SIV. While the pipeline for new SIVs is robust, Ceres' vehicle has already scored its ratings from both Moody's Investors Service and Standard & Poor's, a step ahead of most players attempting to enter this market, the source said.
Ceres established and has been acting as administrator of Granite Funding since the conduit's launch in July 1999. Bankers Trust also participates on the conduit as administrative agent, and will serve a similar function in the pending SIV.
Meanwhile, last week Nissan Motor Acceptance closed its $3.5 billion auto lease and loan receivables sale into the ABCP market. The deal, which was arranged and structured by JPMorgan, went into eight conduits, and one non-conduit purchaser.
The conduits are JPMorgan's Delaware Funding, Park Avenue Receivables (Parco), CDC Capital's Eiffel Funding, SocGen's Barton Capital, ABN Amro's Windmill, and three separate Citibank programs (splitting $750 million).
Nissan has been a regular issuer in the term market since 1997, and prior to that had issued sporadically since 1986. The automaker has tapped the term market twice this year for about $2 billion in proceeds.
At press time, the $6 billion Finova Capital/Berkadia transaction had not yet closed. That deal, arranged by Fleet Securities, is being placed into 16 conduits. Industry sources said the deal is subject to bankruptcy court approval.