Global law firm Baker McKenzie has advised Santander Consumer Group on the PBD series auto loan securitization.
The public asset-backed securities transaction comprised notes with an initial aggregate principal amount of EUR500 million secured by auto loan receivables. The notes were issued by PBD Germany Auto Loan 2021 UG (haftungsbeschränkt) with the option for additional notes issuances of up to EUR858 million in total. The originator of the receivables was PSA Bank Deutschland GmbH, a joint venture between the German captive financing arm of Stellantis and German entity Santander Consumer Group.
Sarah Porter, partner of Baker McKenzie and transaction lead in London said, "The structure benefits from a revolving period, giving PSA the option to sell additional receivables to the issuer SPV. This 'tap-up' mechanism provides PSA with additional flexibility to leverage the projected growth of its receivables portfolio in 2021 and 2022 following the COVID-19 pandemic downturn."
The transaction was arranged by UniCredit Bank AG. Frankfurt based STS Verification International acted as Third Party Verifier. The STS Regime under the Securitization Regulation has been available since 2019 and provides for a privileged capital treatment by allowing reduced risk weights for transactions that are compliant with simple, transparent and standardised (STS) criteria.
Baker McKenzie's transaction team was led by partners Sarah Porter (London) and Sandra Wittinghofer (Frankfurt) and comprised: partner Jeremy Levy, senior associate Stefanie Lim and trainee Duy Le (Banking & Finance, London); senior associate Marta Zuliamis (Banking & Finance, Frankfurt); associate Sarah de Villers (Banking & Finance, Luxembourg); and partners Christoph Becker, Jochen Meyer-Burow, Stephan Behnes and counsel Astrid Ruppelt (Tax, Frankfurt).
The securitization team at Baker McKenzie regularly advises a large number of national and international ABS transactions, particularly in the automotive industry. Longstanding clients are Porsche Financial Services, Deutsche Sparkassen Leasing, LBBW, Commerzbank, ING Bank, BNP Paribas und Banca Intesa.