The securitisation fund is made up of mortgage loans granted by BBVA to its customers. The amount of the issue is €12.4 billion and the bonds have been fully subscribed by BBVA. The securitised portfolio comes from loans included in several previously issued funds and newly originated loans.
The purpose of this issue is that the bonds can be used as collateral in the European Central Bank’s liquidity auctions. The issue consists of two series of bonds, one senior (class A) and one subordinated (class B). Class A (€12,028 million) is the one issued with the aim of being used as collateral in operations with the Eurosystem. The issue of class B bonds amounts to €372 million.
The bonds have obtained very good ratings from the rating agencies DBRS, S&P, and Scope. The latter has awarded the highest credit rating (AAA) to the class A bonds.
Clifford Chance Global Financial Markets team was led by partner and head of this area in Spain Eduardo García, along with senior associate Jesús Quesada, and associate Pedro Cubillas.