Group BPCE Issuer Pooling Card Receivables
A pool of credit card receives issued by Group BPCE’s Natixis Financement unit are being securitized in the second-ever issuance through the Purple Master Credit Cards, FCT in France.
The €651 million transaction mostly consists of €550 million in a Class A2016-1 series of notes due October 2028, which have a preliminary ‘Aaa’ rating from Moody’s Investor Service.
The A notes have a 16.5% credit enhancement supported by a 1.2% reserve fund and the 15.5% subordination of unrated Class C2016-1 notes (totaling €64.1 million) and a €36.9 million fixed rate stack that is to be retained by Natixis Financement.
This is the second issuance under the Purple Master trust platfor€2 billion program, and will be used to redeem the existing 2015-1 series notes.
The collateral consists of 339,341 revolving credit agreements, with an outstanding aggregate balance of €734 million. The average account has a €5,819 credit limit and an interest rate of 12.8%.
According to Moody’s, most of the receivables are through cards used on the VISA network, and are the “dual” debti/credit cards that are tied to accounts held by another bank in the Groupe BPCE family.
The deal is expected to close in October.