U.K. RMBS domination of the new issue market continued last week, with the pricing of the giant $7.5 billion (U.S. equivalent) HBOS - the second issue from its Permanent Finance master trust structure. Meanwhile, the pipeline continues to grow with new continental issues.
Italy is still busy, sporting a healthy pipeline; Italian issues that priced last week were quickly replaced by new names. New last week was Maestrale Srl, an Italian lease securitization. The $260 million equivalent transaction, originated by Commercio e Finanza and Leasing e Factora S.p.A., is being led by ABN Amro. The transaction is structured as two senior tranches and one $26.5 million junior tranche. The class A and B notes are currently rated triple-A and single-A, respectively. According to market sources, there is a back-up servicer in place and the credit enhancement levels for the triple-A rated notes are unusually high for an Italian lease transaction.