The securitization market in the Philippines has not been very active, but a number of deals are expected in the near future. A workers remittance transaction is being prepared which will be placed into a Citibank conduit. Two domestic consumer finance transactions denominated in Philippine pesos are expected to close by the end of the year.
Hypovereinsbank is preparing a deal that will package the cashflow owed by the Philippines Department of Transportation and Communications (DoTC) to a consortium of contractors that built a section of Manila's MRT rail system. The deal will securitize leases the DoTC will pay to the constructors. The transaction is expected to be U.S. $175 million and, if it goes ahead, will be the first deal in Asia Pacific to securitize revenues from a build, lease and transfer contract.