The list of eligible Term Asset-Backed Securities Loan Facility (TALF) deals continued to grow, although December issuance has tapered off with the year-end approaching, market sources said.

Approximately $4 billion in TALF-eligible deals have priced so far for the December subscription date.

In March, when the program was first launched, TALF-eligible deals totaled $8.3 billion, but in April that figure dipped to $2.9 billion. June had the biggest volume, at a little over $16 billion.
Last month, TALF-eligible deals worth about $6 billion were sold.

For the December deadline, the Hyundai Floorplan Master Owner Trust $200 million deal led by Barclays Capital priced ahead of today’s deadline. The single-tranche deal sold at 125 basis points over one-month Libor.

Meanwhile, Harley-Davidson came to market with its $562 million TALF eligible bond ahead of today’s deadline.  Citigroup also sold a $1.5 billion credit card under TALF. According to market reports, the bond was launched at 255 basis points over mid-swaps, which was in line with guidance.

Price guidance is out on the $760 million Mass Mutual Equipment Finance bond deal. According to market reports, the largest triple-A-rated tranche, worth $267 million, is being talked in the area of 155 basis points to 160 basis points over a benchmark, according to a person familiar with the deal. The deal is also led by Barclays Capital.

Other issuers include Sallie Mae, which has student loan deal jointly managed by Deutsche Bank Securities and JPMorgan Chase. The largest triple-A-rated tranche is worth $391.243 million.

Additionally, there is also a $165 million bond from Ocwen Advance Receivables.

Outside TALF, Market Heats Up

More non-TALF-eligible transactions are coming to the securitization market.

Ford Motor Co. has increased its auto loan deal by more than 50%, to $1.58 billion from $1.027 billion. The deal has four tranches, of which three are triple-A rated.

Price guidance on the largest top-rated tranche worth $391 million is in the 50 basis points over a benchmark area. Joint leads are Barclays Capital, JPMorgan Securities and Morgan Stanley.

Sallie Mae also recently priced its new single-tranche $839 million student loan backed deal at 75 basis points over one-month Libor.

World Omni Financial Corp. this month raised $1.04 billion for an auto loan-backed deal without having to tap the TALF program.

USAA Auto Owner Trust sold a $1 billion non-TALF bond in early November. Meanwhile, both CarMax and Entergy Texas Restoration Funding have also recently raised money outside of TALF.

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