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Raiffeisenbank completes $400 million auto loan securitization

MOSCOW, May 17 (RIA Novosti) - Raiffeisenbank Austria, the Russian subsidiary of Raiffeisen International, has placed a $400 million securitization of auto loans with foreign investors, Raiffesen said Thursday.

As a result of the deal, organized by U.S. JPMorgan and Raiffeisen Zentralbank Osterreich, Raiffeisenbank sold a portfolio of auto loans to ROOF Russia S.A., a special-purpose entity, which will fund the purchase from the proceeds of a series of asset-backed secured floating rate notes.

The most senior tranche accounts for 89.3% of the portfolio and has received an A3/A-minus Ratings by Moody's and Fitch, respectively.

The transaction has a maturity in 10 years. The securitized auto loans are U.S. dollar-denominated and carry fixed rates of interest.

Raiffeisen International Bank Holding has two subsidiaries in Russia, Raiffeisenbank and Impexbank, which are among Russia's top 30 banks. The two banks are currently being merged.

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