Macquarie Bank priced its $500 million of auto loan and lease backed securities, with spreads on some of the tranches inside of initial guidance.
The deal, SMART ABS Series 2014-1 US, is backed by a pool of lease contracts, hire purchase contracts and loan contracts on motor vehicles located in Australia; however the seven classes of A securities issued from the trust are denominated in U.S. dollars.
The $90 million Class A-1 notes maturing in March 2015 priced to yield 0.22%, according to a regulatory filing.
The $94 million Class A-2A notes due July 2016 were priced to yield 0.58%. The $40 million Class A-2b notes due 2016 were priced at one-month Libor plus 30 basis points, 10 basis points narrower than initial guidance of Libor plus 40 basis points.
The $70 million Class A-3a notes due February 2018 were priced to yield 0.95%. The $96 million Class A-3b notes due February 2018 were priced at Libor plus 40 basis points, in line with price guidance.
The $50 million Class A-4a notes due December 2019 were priced to yield 1.68%. The $50 million Class A4b notes due December 2019 were priced at Libor plus 60 basis points, outside of guidance for Libor plus 55 basis points.
In addition to the U.S. dollar-denominated notes, Macquerie is also offering Australian denominated class B, C, D and E notes.
J.P. Morgan and RBS are joint lead managers on the US dollar portion of the deal.