Two deals backed by Canadian dollar denominated credit card receivables, led by BMO Nesbitt Burn, will total C$1.7 billion.
BMO and Scotia Capital have arranged a securitization backed by credit card receivables generated by Canadian Tire Bank, according to Standard & Poor’s.
The deal called Glacier Credit Card Trust series 2013-1 will offer investors C$250 million of S&P rated, AAA’, senior notes; and C$14.55 million A’ rated, subordinate notes. The senior notes will receive 10.43% credit enhancement. The subordinated notes will receive 5.21% credit enhancement.
The deal is backed by a revolving pool of MasterCard and retail credit card receivables generated by accounts originated by CTB. The credit card ABS trust currently has five series outstanding: 1997-1, 2006-2, 2010-1, 2012-1, and 2012-2.
BMO is also underwriting the C$1.06 billion credit card ABS backed by a pool of MasterCard accounts originated by Bank of Montreal, according to S&P.
