General Electric plans to issue $727 million of securities backed by equipment lease receivables, according to a regulatory filing.
The capital structure of the deal, called GE Equipment Transportation LLC, Series 2014-1, includes $700 million of class A notes. The class A-1 notes are due June 2015, the class A-2 notes are due December 2016,the class A-3 notes are due April 2018 and the class A-4 notes are due August 2022.
The trust will also offer $26 million in subordinate notes that are due August 2022.
The pool is comprised of loans and leases made to U.S. obligors. The loans have a weighted average seasoning of 12.42 months, with a weighted average remaining life of 49.74 months.
GE Capital has securitized commercial loans originated by its commercial lending and leasing division since 2003 and has securitized commercial leases similar to the types included in this transaction originated by its commercial lending and leasing division since 2010. The size of this portfolio was in excess of $3.7 billion as of March 31, 2014, according to the regulatory filing.
Barclays and Mizuho Securities are listed as the joint bookrunners on the transaction.