Auto loan lender Carmax has priced a $1 billion securitization, its third of 2014.
The bookrunners for Carmax Auto Owners Trust 2014-3 are Barclays, RBC, and Wells Fargo. The co-managers are Bank of America Merrill Lynch, Credit Suisse, Scotia, and SunTrust.
An A-1 tranche for $172 million with a weighted average life (WAL) of 0.28 years priced at an annualized yield of 0.19%.
An A-2 tranche for $330 million with a WAL of 1.11 years priced at a spread over Eurodollar Synthetic Forward (EDSF) of 20 basis points.
A-3 notes totaling $300 million with a WAL of 2.54 years priced at 25 basis points over Interpolated Swaps (IntS).
An A-4 piece for $111.5 million with a WAL of 3.83 years priced at 30 basis points over IntS.
All the A notes are rated triple-A by Moody’s Investors Service and Standard & Poor’s.
A B piece for $12 million and rated Aa2’/AA’ priced at 55 basis points over IntS.
A C piece for $22.5 million and rated A2’/A’ priced at 80 basis points over IntS.
A D piece for $22 million and rated Baa2’/BBB’ priced at 130 basis points over IntS.
The B, C, and D notes all have a WAL of 4.01 years.
