Securitization

The South Texas Higher Education Authority has lined up a $104.3 million Federal Family Education Loan Program (FFELP) –backed student loan securitization deal.

Deutsche Bank and Cantor Fitzgerald plan to issue a $1.4 billion CMBS conduit deal called COMM 2013-CCRE8.

Subprime auto lender, JD Byrider plans to return to the securitization market with its $121.4 million CarNow Auto Receivables Trust 2013-1 The lender brought its inaugural issue to market last year.

Freddie Mac plans to issue its ninth multifamiliy CMBS of 2013, a $1.3billion transaction that is backed by fixed-rate multifamily mortgages with a 7-year term.

Ally Bank plans to issue a $986 million auto lease ABS called Ally Auto Receivables Trust (AART) 2013-SN1.

The issue of how long the statute of limitations runs and when the statute clock starts on representations and warranties provisions in RMBS is under active litigation and adds another layer of risk that investors must consider.

Allianz completed a $175 million catastrophe bond providing reinsurance against North American windstorms and earthquakes.

On Tuesday, the European Banking Authority (EBA) published a consultation paper would seem to threaten the recent revival of the European CLO market.

J.P. Morgan plans to issue its second RMBS deal of 2013, the $442.4 million Mortgage Trust 2013-2.

Freddie Mac will begin securitizing modified single-family loans, according to the government-sponsored enterprise.

Credipar, a subsidiary of Banque PSA Finance, plans to issue the first investor-placed French auto ABS of the year, the €470 million AUTO ABS FCT Compartiment 2013-2.

Citibank plans to issue a follow up to its early May issue according to a deal prospectus filed with US Securities and Exchange Commission yesterday.

Ally Financial agreed to pay $2.1 billion to unsecured creditors of its bankrupt mortgage unit, Residential Capital, including securitization trusts.

FeatherStone Investment Group is working on its first securitization of rental income; the deal should be completed in the next 90 to 120 days.

Ohio’s FirstEnergy Corp. subsidiaries, the Cleveland Electric Illuminating Company, Ohio Edison and Toledo Edison - are planning a $505 million utility securitization.

A large portfolio sale by a European bank is set to test market appetite for non-agency residental mortgage-backed securities (RMBS).

The Federal Housing Finance Agency should require the government-sponsored enterprises to purchase loans with deeper levels of credit enhancement in exchange for bona fide reductions in guarantee fees, the Mortgage Bankers Association said.

Santander UK is readying an £1.35 billion-equivalent securitization of residential mortgage loans, according to Standard & Poor’s; it includes a dollar tranche.

DBRS said that the automated underwriting used by non-bank specialty finance companies has led to a pick-up in small, unsecured business lending. These lenders are now considering ABS issuance.