Ally Bank priced $1.1 billion of securities backed by prime auto leases, according to a regulatory filing.
The deal, AART 2014-SN2 is rated by Fitch Ratings and Standard & Poor’s. The fixed-rate, AAA’/ AAA’ rated, 1.27-year notes yield 33 basis points over the Eurodollar synthetic forward curve. The floating-rate, 1.27-year notes yield 30 basis points over one-month Libor.
The notes priced 10 basis points wide of comparable bonds issued from World Omni’s inaugural prime auto lease securitization, which priced on Sept. 11.
Ally sold the 2-year, class A-3 notes rated AAA’/ AAA’ at 43 basis points over the Eurodollar synthetic forward curve. The 2.32-year, AAA’/ AAA’ rated class A-4 notes priced at 48 basis over interpolated swaps.
A pool of closed end auto leases on new GM and Chrysler brand cars back the notes. The pool consists of strong quality leases with a weighted average FICO of 762.
World Omni’s deal was backed by leases with slightly weaker FICOs that have a weighted average FICO score of 746. The pool was comprised of closed-end vehicle leases on new vehicles manufactured by Toyota Motor Corp. and originated by World Omni.