California Republic Bancorp has recently closed a securitization of prime auto loans, the company said in a release.
The deal, for a total $380 million, was issued as a 144A private placement. Standard & Poor’s and DBRS rated the deal, with details on each tranche below.
Credit spreads have widened in the fourth quarter, making for “difficult” market conditions, said the company's CEO, Jon Wilcox, in the release. The deal, nonetheless, was oversubscribed, according to John DeCero, the president of California Republic Bancorp.
Credit Suisse and JP Morgan were joint bookrunners on the deal, with Citigroup participating as co-manager.
The deal is the 11th auto loan asset-backed from California Republic Bancorp, which is a holding company for California Republic Bank and CRB Auto. The former is a “full service commercial bank,” while the latter is a “relationship based, indirect auto lender, which purchases auto contracts from both franchised and select independent automobile dealerships throughout 12 states,” the release said.