The Baltic country of Latvia has a cross-border RMBS in the works for about $63.6 million, the first of its kind in Central Europe, according to a report by Moody's Investors Service. Wachovia Securities is the arranger, according to a source familiar with the transaction. Moody's has given preliminary ratings of 'Aa2' to a senior tranche - sized at $60.1 million - and 'Baa1' to a subordinated piece ($3.6 million), both with projected legal final maturities of 22 years.

The originator is the Baltic American Enterprise Fund (BalAEF), a US private corporation that was initially controlled by the U.S. government. "[Its] mission is to promote the development of a market economy - and specifically a mortgage market - in the Baltic Region," Moody's said. BalAEF's headquarters are in the Latvian capital of Riga.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.