Hyundai Capital America plans to return to the securitization market with a $1.5 billion auto loan deal to be issued from its auto receivables trust.

The deal, Hyundai Auto Receivables Trust 2013-B, will offer investors four tranches of class A notes, one B tranche, one C tranche and on D tranche, according to a deal prospectus filed with the US Securities and Exchange Commission. The notes had not yet been rated.

The main sources for payments of the notes are collections on a pool of motor vehicle retail installment sale contracts that are secured by new and used automobiles, light-duty trucks and minivans and monies on deposit in a reserve account.

Credit enhancement will consist of a reserve account with an initial deposit of $3,786,329.33, excess interest and for each class of notes, subordination of all other classes of notes bearing a subsequent designation in alphabetical order, the yield supplement overcollateralization amount and overcollateralization (in addition to the yield supplement overcollateralization amount.

Credit Suisse, BofA Merrill Lynch , Credit Agricole and RBC Capital Markets are managers on the deal.

Hyundai last came to market with a prime auto loan deal in January with its $1.31 billion  HART 2013-A.

Auto ABS issuance has this month moved toward more auto leases and subprime loan deals. Wells Fargo said in a securitzation report in May that the slowdown in new vehicle sales may reduce the need for securitization as a financing alternative among prime auto lenders.

Also the analysts noted that widening in prime auto ABS spreads from Q4 2012 through early April 2013, after a long stretch of spread tightening that started in early 2012, makes securitization  a more expensive option compared with other forms of financing for auto lenders.

“We expect spread fluctuations to continue to influence the behavior of auto ABS issuers that have ready access to other forms of funding, such as bank credit lines or corporate bonds,” said analysts.

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