BMW priced its auto-backed ABS transaction yesterday. Around 50 investors placed €2.2 billion orders for the €742m A Class notes of the car company's auto ABS Bavarian Sky 2, according to published reports.
The transaction's Class A notes priced at 85 basis points and its €58 million Class B notes priced at 105 basis points.
Bavarian Sky will use the proceeds to buy German auto lease receivables originated by BMW Leasing GmbH, a wholly-owned subsidiary of BMW.
The preliminary portfolio comprises 76,645 lease contracts with an average size of €10,438. The transaction has a one-year revolving period.
By investor type, fund managers placed the most orders at 47%, followed by banks at 42%, insurance companies 7% and central banks and supranational entities at 5%.
Thirty-seven percent was distributed in the U.K./Ireland, 20% in Germany/Austria, 15% in France, 13% in Holland and 5% in Spain/Portugal.