Column Financial, the commercial real estate lending subsidiary of Credit Suisse First Boston, is planning to do a CMBS deal in the third quarter.
The company is currently considering doing a conduit which would likely be in the $300 million range. It is also looking to do single-asset or single-borrower securitizations in the second half of the year. Column is still mulling over whether the conduit would come before the other transactions.
Column originally planned to come to market in the first quarter of this year. However, because of the merger of CSFB and Donaldson Lufkin & Jenrette, the company had to postpone the deal. Column was a wholly-owned subsidiary of DLJ.
Last week, Caisse de Depot's N-45 First CMBS Issuer Corp. priced its CMBS deal. A C$268.809 million Aaa/AAA (6.387%) and a C$100 million (6.387%) priced at +99.3 bp over Government of Canada bonds 6%/08, or +100 over the interpolated Canada yield curve.
CIBC World Markets was lead, with Scotia Capital, National Bank Financial, Royal Bank of Canada, Desjardins, and Laurentian Bank. Several other ancillary tranches were retained by Caisse, which brought the total to C$358 million.
The wider spread (+100 vs. earlier indications of +90) was likely the result of some early reluctance on the part of investors, who cited the concentration of the deal's collateral.
Hollis Receivables Term Trust, Scotia Bank's securitization conduit, filed a new C$2 billion shelf offering prospectus for asset-backed notes secured by the Bank's personal credit line receivables. It is rumored that the first deal under the shelf could begin as early as this week.
Gloucester Credit Card Trust is out with a C$350 million, five-year deal. The deal is divided into C$295.75 million AAA notes and C$54.25 million BBB notes. At press time, marketing is underway and price talk is +49/+51 on the AAA tranche, and +250 on the BBB tranche. Early indications of interest are strong at those levels. Pricing was set for last Friday. BMO Nesbitt is lead, with RBCDS, CIBC, Merrill Lynch and TD Securities.