Ally Bank upsized its latest securitization of receivables collected from lines of credit it makes to dealerships, to $675 million. The deal priced on Thursday.
The deal, called AMOT 2015-3, was originally sized at $500 million. The three-year class A notes, rated triple-A by Standard & Poor’s and Moody’s Investors Service, pay 45 basis points over interpolated swaps. The notes benefit from 26.5% credit enhancement.
By comparison, GM Financial priced the three-year, triple-A rated notes issued from its inaugural auto floorplan called GFORT 2015-1, at 47 basis points over interpolated swaps.
The so-called auto floorplan financing allows dealers to finance their inventory, repaying the line as the vehicles are sold.
Credit Agricole, BofA Merrill Lynch and RBC Capital Markets are the lead managers.
So far thsi year, Ally has issued $1.3 billion of securities backed by deal floorplan receivables over three transactions. The issuer completed five floorplan deals totaling $4.2 billion in 2014.
As of May 12, 2015, Ally’s floorplan portfolio is comprised of 2,553 accounts ($15.4 billion of eligible receivables). The portfolio has not been hit with any losses since its inception in 2007. Since that time the portfolio has experienced a changing composition due in part to the on boarding of new Chrysler and General Motors accounts.
