Navient Credit Finance Corporation priced multiple series of notes totaling $1.26 billion that are backed by loans that are guaranteed by the U.S. under the Federal Family Education Loan Program (FFELP), according to deal documents.
The student loan servicer, which was spun off from Sallie Mae in April, priced six series of notes (NAVSL 2014-2 through 2014-7). The series all offered two tranches of notes rated AAA’/Aaa’ and AA’/Aa1’ respectively by Fitch Ratings and Moody’s Investors Service. All of the AAA/Aaa’ rated, class A notes throughout each series are due March 2043, the class B, AA’/ Aa1’ notes are due June 2054.
The class A notes priced at similar levels that ranged between 61 and 64 basis points over one month Libor. The class B notes all priced at 220 basis points over one month Libor. Deutsche Bank is lead manager on all of the series of notes.
Navient assumed the servicing role previously provided by Sallie Mae, which began servicing FFELP loans in the early 1980s and private student loans in the early 1990s. Navient currently services over $300 billion of student loans, according to the Fitch Ratings presale report.