AmeriCredit Announces $725 Million Senior Subordinate Asset-Backed Securitization
FORT WORTH — AmeriCredit Corp. announced Wednesday the pricing of a $725 million offering of automobile receivables-backed securities through lead managers Credit Suisse and Deutsche Bank Securities.
Co-managers are Barclays Capital, J.P. Morgan, RBS and Wells Fargo Securities.
Basically, AmeriCredit uses net proceeds from securitization transactions to provide long-term financing of its receivables.
The securities will be issued via an owner trust, AmeriCredit Automobile Receivables Trust 2009-1, in five classes of Notes:
Note Class | Amount | Average Life | Price | Interest Rate | |||||||||
A-1 | $ | 236,000,000 | 0.25 years | 100.00000 | 0.8375% | ||||||||
A-2 | 166,000,000 | 0.91 years | 99.99613 | 2.26% | |||||||||
A-3 | 164,560,000 | 1.95 years | 99.99685 | 3.04% | |||||||||
B | 66,200,000 | 2.89 years | 99.98030 | 9.79% | |||||||||
C | 92,240,000 | 3.33 years | 99.99540 | 14.55% |
The weighted average coupon on the Notes to be paid by AmeriCredit is 7.5 percent.
The Note Classes are rated by Standard & Poor's and Moody's Investors Service. The ratings by Note Class are:
Standard & Poor's
A-1: A-1+
A-2: AAA
A-3: AAA
B: AA
C: A
Moody's
A-1: Prime-1
A-2: Aaa
A-3: Aaa
B: Aa2
C: A2
The 2009-1 transaction will have initial credit enhancement of 28.10 percent, consisting of a 2-percent cash deposit and 26.10-percent overcollateralization. Total required enhancement level will build to 38 percent of the then-outstanding receivable pool balance, which includes the initial 2-percent cash deposit, officials noted.