California Republic Bank priced $247 million of bonds backed by subprime auto loans, according to a regulatory filing.

CRART 2013-3 is the regional bank’s third securitization and its first publicly offered deal.  

Credit Suisse was the sole bookrunner; Moody's Investors Service and DBRS both rated the deal.

A $39 million money market tranche with a weighted average life of 0.25 years priced at par to yield 0.33%.

A $184.5 million tranche with a WAL of 1.99 years and an Aa3/AAA rating priced at 85 basis points over the Eurodollar synthetic forward curve.

An $11.89 million tranche with WAL of 4.1 years and an A2/A rating priced at 125 basis points over swaps.

An $11.77 million tranche with a WAL of 4.15 years and a Baa3/BBB rating priced to yield 225 basis points over swaps.

California Republic was last in the ABS market in June, with the $248 million California Republic Auto Receivables Trust 2013-1, which was sold via the 144a market. Its debut, $182 million auto loan securitization came in November 2012.

The bank sees securitization as a way to grow its auto lending. In a press release issued Monday in connection with third quarter results, chief executive Jon Wilcox stated that indirect auto originations for the three month period grew to a record $187 million. He also said that the performance of the loans securitized in the first two deals continues to outperform the bank’s loss expectations.


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