Hong Kong saw its second credit card securitization this year, in the form of a HK$540 million ($69.5 million) deal arranged by Citicorp for Aeon Credit Service (Asia), a consumer finance company headquartered in Japan.

An SPC called Aeon Credit Card Trust issued floating-rate certificates backed by receivables from Aeon Card and Aeon Mastercard customers. All the receivables are denominated in Hong Kong dollars and all the obligors are in Hong Kong. The transaction benefited from subordinated seller certificates, a reserve account, and a back-up servicing provided by the Bank of New York.

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