True to form, the August slowdown saw only one deal price but industry players are gearing up for what promises to be a very busy year-end run. Included in the pipeline this week is the largest deal yet issued under the KfW sponsored Provide platform. Provide A 2003-1 PLC, a synthetic RMBS, will include E387.75 million (US$419.25 million) credit linked notes issued under a E2.64 billion (US$2.8 billion) senior credit default swap. The mortgage loans included in the pool are originated by HVB.
As anticipated, there is still more master trust action left for the second half of the year. To kick off activity is the E2.2 billion (US$2.37 billion) Lothian Mortgages 2 from the Standard Life originated U.K. Master Trust. BNP Paribas and Lehman Brothers will co-manage the deal that will include Euro-based, sterling-based and U.S. dollar-based tranches under its capital structure.
On the U.K. front, a new credit card deal is expected from Barclaycard's Gracechurch series. Gracechurch Card Funding No.5 is expected to offer the market US$1 billion of U.K. credit card receivables.
Spain, which has so far shown some promising issuance, is stepping up to the line this month with a E850million (US$919.2 million) securitization of flexible mortgages from Caixa Catalunya. Italy will add a whopping E3billion (US$3.2 billion) under its SCIP series that securitizes Italian state-owned real estate.