EFG Eurobank completed a 2.25 billion ($2.83 billion) securitization of its portfolio of loans to small and medium enterprises (SMEs). This is the bank's first ABS of SME credit and the first deal of its type for Greece. Deutsche Bank and Merrill Lynch arranged the deal.
The deal, dubbed Abaptyxi 2006-1 plc, saw the 750 million tranche retained by EFG price at 17 basis points over Euribor. The 1.8 billion Class A tranche priced at 17 basis points over - one basis point wider than initial guidance; the class B notes priced at 40 basis points over; the Class C tranche priced at 75 basis points; and the Class D notes priced at 250 basis points over. EFG Eurobank said the proceeds would be used to cover part of its expanding financial program. EFG had previously brought over 3.25 billion in securitization paper via its residential mortgage-backed Themelion deals and credit card receivables via the Karta vehicle.