Nissan Motor Co. is marketing $833 million of securities backed by prime auto loans.
On offer are a $174 million money market tranche, four tranches of notes with a preliminary ‘AAA’ rating from Fitch Ratings, and an unrated class of certificates.
Bank of America Merrill Lynch is the underwriter.
The transaction is backed by receivables from loans for new and used Nissan and Infiniti cars and light-duty trucks manufactured by Nissan and originated and serviced by Nissan Motor Acceptance Corp.
The collateral composition and credit quality of 2015-C are generally consistent with those of prior pools, according to Fitch. The weighted average (WA) Fair Isaac Corp. score is 772, new vehicles total 90.86%, Nissan brand vehicles represent 92.67%, and the pool is geographically diverse.
Loans with terms of more than 60 months total 53.66% of the pool. That category includes 73−75 month original term loans, which total less than 4%. This is the sixth NAROT pool to include 73−75 month loan terms.
The concentration of longer term loans in auto ABS has been steadily rising; World Omni is currently marketing a prime auto loan securitization that is backed 76% by such loans. That’s the highest concentration ever by any sponsor, according to Fitch,