Société Générale Progresses Lease and Residual Values Securitization Transaction
Baker McKenzie acted as arranger counsel for Société Générale Corporate, Investment Banking (Société Générale) in a public ABS (asset-backed securities) transaction of ALD Autoleasing D GmbH ("ALD") in Germany.
Notes with an aggregate principal amount of EUR 730 million secured by auto lease receivables and auto residual values originated by ALD were issued. The Issuer is the newly established Red & Black Auto Lease 2 S.A. in Luxembourg. Société Générale was entrusted with the placement of the notes. The investor base is spread widely across Europe.
"Compared to former transactions, we set up an entirely new securitization program under Luxembourg law for our client and ALD. The new securitization program benefits from the Compartment structure under Luxembourg law and allows to use one single issuer for both asset classes. In addition to the legal complexity which any securitization of residual values entails, complicated matters of value added tax needed to be solved", said Dr. Martin Kaiser, head of the practice group Banking & Finance.
The securitization team at Baker McKenzie regularly advises a large number of national and international ABS transactions, particularly in the automotive and lease industry. Frequent clients are amongst others Société Générale, Commerzbank, LeasePlan, Volkswagen Bank, Volkswagen Financial Services, Porsche Financial Services and BMW Bank.
Legal advisor Société Générale:
Lead: Banking & Finance: Dr. Martin Kaiser, LL.M. (Partner, Frankfurt)
Further team: Banking & Finance: Sahra Demirbilek (Associate, Frankfurt), Stephan Lehnen, LL.M. (Associate, Frankfurt); Laurent Fessmann (Partner, Luxembourg); Martin Michard (Partner, Luxembourg)
Banking Regulatory: Sandra Wittinghofer (Partner, Frankfurt)
Tax: Christoph Becker (Partner, Frankfurt)
VAT: Jochen Meyer-Burow, LL.M. (Partner, Frankfurt), Benjamin Bergau (Associate, Frankfurt)
Consumer Law/Leasing: Dr. Holger Lutz, LL.M. (Partner, Frankfurt)