CNH Capital America priced its first equipment lease securitization of the year, Wednesday according to a deal term sheet filed with the Securities Exchange Commission.
The deal was upsized to $1 billion from $844 million. The capital structure offered four tranches of class A, senior notes and a subordinate, class B tranche. The 1.10-year, class A-2 notes priced at 22 basis points over Eurodollar synthetic forward curve.
The 2.40-year, class A-3 notes priced at 23 basis points over interpolated swaps curve and the 3.85-year, class A-4 notes priced at 30 basis points over interpolated swaps curve.
The single-A rated, class B notes with a weighted average life of 3.99-years priced at 68 basis points over interpolated swaps curve.
The deal is backed by fixed-rate retail installment sale contracts and retail installment loans secured by agricultural or construction equipment.
Bank of America Merrill Lynch, Deutsche Bank and Societe General are lead managers on the deal. Citigroup, Rabo Securities, Credit Agricole and Wells Fargo are the co-managers on the class A notes only.