Ally Bank plans to issue $500 million in senior securities backed by auto dealer floorplan receivables.
Ally Master Owner Trust 2014-5 will issue two tranches of notes, class A-1 floating-rate notes and class A-2 fixed-rate notes, both of which have a preliminary 'AAA' rating from Fitch Ratings. The notes are due October 2017.
Barclays, Credit Suisse and RBC Capital Markets have been mandated to lead the deal.
The notes will be backed by a revolving pool of receivables arising under floorplan financing agreements between Ally Bank and retail automotive dealers, primarily dealers of General Motors and Chrysler Group vehicles, to finance their inventory of new and used autos and light- and medium-duty trucks and vans, according to S&P's presale report.
The trust receivables backing the latest series series have a high percentage of floorplan loans backing new vehicles (89.2%) and only 6.5% of inventory aged past 270 days. Initial credit enhancement (CE) for the class A notes is 26.5% , identical to prior 2014 series issued.
Ally was last in the market with a dealer floorplan securitization in July.