VW Credit (VCI) is in the market with an auto securitization called Volkswagen Auto Loan Enhanced Trust 2011-1 (VALET 2011-1 or 2011-1). The six-tranche offering, managed by JPMorgan Securities, is worth $1 billion.
This is the first transaction issued by VCI this year. VCI, which is the transaction's sponsor and servicer, is the indirect wholly owned captive finance unit of Volkswagen Group of America, which is a wholly owned subsidiary of Volkswagen AG, according to a Fitch Ratings presale report.
The offering ise backed by a pool of retail installment sales contracts secured by new and used Volkswagen and Audi automobiles and light-duty trucks originated and underwritten by VCI.
The presale indicated that the deal's class A, fixed-rate notes will be publicly offered. The class A-1 notes are money market eligible under Rule 2a7 of the Investment Company Act of 1940.
For further details on the transaction, please click the link below from the ASR Scorecards database.
The deal's proceeds will be used for general funding purposes, according to Fitch.