Toyota Motor Credit priced its upsized, $1.75 billion "green" auto loan securitization according to a regulatory filing.
The deal Toyota Auto Receivables 2014-A, is backed by a conventional mix of loans, but proceeds from the deal are ringfenced to finance future purchases of hybrid gas-electric vehicles.
Three classes of notes with AAA’/Aaa’ ratings from Standard & Poor’s and Moody’s Investors Service were placed with investors:
The $560 million A-2 tranche with a weighted average life of 1.0 year yields 13 basis points over the Eurodollar synthetic forward curve, for a coupon of 0.41%.
The $480 million A-3 tranche with a weighted average life of 2.06 years yields 15 basis points over the interpolated swaps curve, for a coupon of 0.67%.
The $165.25 million A-4 tranche with a weighted average life of 3.17 years yields 22 basis points over the interpolated swaps curve, for a coupon of 1.18%.
The deal also includes an A-1 money market tranche and a longer-dated B tranche, both of which were retained by Toyota.