A review of securitisation activity over the past seven days

Transaction of the week
Rarely seen Spanish assets are behind the latest non-performing loan RMBS currently marketing. Dubbed ProSil Acquisition, the transaction is backed by a €494.7m by gross book value (GBV) portfolio consisting of mostly secured NPLs and some residual unsecured loans (SCI 10 July).

The receivables were originated by Abanca Corporación Bancaria and Abanca Corporación División Immobilaria. Cortland Investors II operates as the sponsor and retention holder in the transaction.

The majority of loans in the portfolio defaulted between 2010 and 2015 and are in various stages of resolution. The secured and unsecured loans are serviced by Hipoges Iberia.

Approximately 94% of the pool by GBV is secured, of which 95.3% benefit from a first-ranking lien. The secured loans in the portfolio are backed by properties distributed across Spain, with concentrations in the province of Pontevedra, Madrid and Barcelona.

Other deal-related news

• Santander has completed three SME significant risk transfer transactions that total €940.6m of tranche notional (SCI 9 July). This represents Santander's largest total annual SME synthetic securitisation placement to date (see SCI's capital relief trades database).
• Glennmont Partners has sponsored a debut securitisation backed by a portfolio of project finance loans tied to Italian renewable energy plants. It is hoped that the €51.472m transaction, structured and arranged by Natixis, will act as a catalyst for further securitisations of renewable energy assets (SCI 10 July).
• The RMAC Securities No. 1 Series 2006-NS1, 2006-NS2, 2006-NS3, 2006-NS4 and 2007-NS1 issuers have received notices of discontinuance from Clifden, purporting to discontinue its Part 8 claim. The issuers had previously applied for a strike out and summary judgement of the claim, which was to be heard in the chancery division of the high court on 2 July (SCI 8 July).
• Business Mortgage Finance 6 has issued a claim against the following defendants in the High Court of Justice in London: Greencoat Investments, Greencoat Holdings (GHL), Portfolio Logistics, Alfred Oyekoya, Patrick FitzSimons and Maria Stoica. The claim seeks declarations that the actions taken by each of the defendants in relation to the issuer are invalid, including such things as the purported appointment of GHL and Portfolio Logistics as trustee in place of BNY Mellon. The issuer has also made a court application seeking an interim injunction to restrain each of the defendants from holding themselves out as having any authority on behalf of it (SCI 10 July).
• Fannie Mae has secured commitments for two new front-end Credit Insurance Risk Transfer transactions: CIRT FE 2019-1 and CIRT FE 2019-2 will cover up to US$14bn of loans to be acquired by the GSE between May 2019 through April 2020 and transfer up to US$455m of credit risk on those covered loans. With 19 insurers and reinsurers participating, coverage is provided based upon actual losses for a term of 10.5 years from the effective date of 1 May 2019 (SCI 12 July).

Data

Pricings
European transactions once again dominated last week's new issuance volumes. CLOs, credit card ABS and RMBS were in the mix.

Last week's RMBS prints comprised £515m Canterbury Finance No. 1, £465m Finsbury Square 2019-2 and €545m Saecure 18 NHG. The credit card ABS consisted of £1.39bn-equivalent Penarth Master Issuer Series 2019-1 and €181m Wizink Master Credit Cards 2019-02. Among the CLO pricings were €408.36m CVC Cordatus Loan Fund XV, US$254m Shackleton 2016-IX CLO (refinancing) and US$503.45m Southwick Park CLO.

BWIC volume

Awards
Nominations have opened for the inaugural SCI Capital Relief Trades Awards. The aim of the awards is to recognise excellence in, and help bring mainstream attention to, the risk transfer industry. Pitches should be submitted by 16 August and the winners will be announced at the SCI Capital Relief Trades Seminar on 17 October. Further information and details of how to pitch can be found here.