CarMax priced an upsized an upsized, $987 million offering of bonds backed by prime auto loans, according to a regulatory filing.
The deal was originally sized at $800 million.
The $167 million class A money market tranche has a coupon of 0.19% and priced at par. The trust also issued three tranches with triple-A ratings: the $310 million class A2 with a weighted average life of 1.07 years was priced to yield 20 basis points over the eurodollar synthetic forward curve; the 4336 million class A3 with a WAL of 2.45 years was priced to yield 25 basis points over interpolated swaps; and the $115.29 million class A4 with a WAL of 3.77 years was priced to yield 32 basis points over interpolated swaps.
J.P. Morgan, Barclays and RBC Capital Markets are joint bookrunners of the class A, B, C and D notes. Bank of America Merrill Lynch, Scotiabank, SunTrust Robinson Humphrey and Wells Fargo Securities are co-managers of the class A notes.
CarMax was last in the market in February, when it priced a $950 million prime auto loan securitization. That deal priced at similar levels: the class A2 notes with a WAL of 1.10 years priced at 19 basis points over the EDSF; the 2.45-years, class A3 notes priced at 20 basis points over interpolated swaps curve; and the 3.72-years, class A4 tranche priced at 25 basis points over swaps.