Russia's first RMBS priced July 4, pulling just under 20 investors into its $74.2 million A tranche, including banks, fund managers and structured investment vehicles, according to a source close to the deal. Originated by Vneshtorgbank, the deal earned pricing of 100 basis points over one-month Libor, on the tight side of guidance. Barclays Capital and HSBC were joint leads. The notes had a legal final of 28 years and an average life of 3.6 years. Fitch Ratings and Moody's Investors Service rated the A piece BBB+' and A1', respectively.

The buyer base consisted mostly of banks, with a few being names that don't traditionally buy into European MBS, and were thereby more attracted to the transaction's status as an emerging-market deal. A single offshore U.S. account took a slice as well, with onshore U.S. money prevented from buying in as the transaction was only registered as a European Reg S.

The International Finance Corp. had pledged to buy the B notes, amounting to $10.6 million, with an average life of six years. Pricing on that piece hadn't been finalized as of press time, according to a source close to the deal. Fitch and Moody's rated that piece BBB' and Baa2', respectively. The deal marked the debut of the IFC's new liquidity facility (ASR, 06/26/06).

The originator purchased a C tranche for $3.5 million.

Meanwhile, more details are out on a recent deal from Turkiye Is Bankasi (Isbank), backed by diversified payment rights (ASR, 07/03/06). At $800 million, the deal was split into five tranches. WestLB led the A tranche and B tranches, of $100 million apiece; ING Bank led the $150 million C tranche and $250 million D tranche; and Dresdner Kleinwort Wasserstein led the $200 million E tranche. The A, B, and C slices had a legal final of eight years and average lives from 5.69 to 5.74 years; the D tranche had a five-year legal final and 4.03-year average life; and the E tranche had a seven year final and 5.62-year average life.

Financial Security Assurance wrapped the B and C tranches and MBIA wrapped the D one. The unwrapped pieces were rated Baa2' and BBB-' by Moody's Investors Service and Standard & Poor's, respectively. Both agencies naturally rated the insured pieces triple-A.

The yield averaged roughly 92 basis points over three-month Libor for the unwrapped tranches, and 18 basis points over three-month Libor for the wrapped pieces, according to the Regulatory News Service of the London Stock Exchange.

(c) 2006 Asset Securitization Report and SourceMedia, Inc. All Rights Reserved.

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