Trafigura places USD300 m in ABS markets
Trafigura’s third public ABS issuance was oversubscribed
Geneva, 30 October, 2014 – Trafigura Securitisation Finance Plc ("TSF"), the securitisation vehicle of the Trafigura Group, has successfully issued a new Series ("Series TSF 2014-1 Notes") on the US Asset-Backed Securities (ABS) market. This is Trafigura's third public ABS issuance since the inception of the programme in November 2004. TSF has since become the largest securitisation programme of trade receivables in Europe.
The issuance was significantly oversubscribed. A total of USD300 m of public notes (3Y tenor) were placed with US and European investors including: USD279 m AAA/Aaa Notes at 1m Libor +95bps and USD21m BBB/Baa2 Notes at 1m Libor +225 bps. Trafigura was able to diversify its investor base in the ABS market with the emergence of six new investors to the programme. Many of the original investors from the inaugural US 144A transaction (TSF 2012-1) also participated in the new offering.
Laurent Christophe, Trafigura's Global Head of Corporate Finance, said: "The successful launch of this new issuance demonstrates the attractiveness of the underlying asset class which is very rarely offered in public markets, the performance of our programme and the quality of the issuance structure. We were very pleased to achieve a significant tightening in spreads compared to our last public issuance in this market despite the combination of volatile market conditions, a relative lack of familiarity in the ABS market with trade receivables as an asset class and previous limited exposure of ABS investors with Trafigura as an originator. The new issuance solidly anchors Trafigura in the US and European ABS markets."
For further information contact:
Trafigura's Global Press Office: Tel: +41 22 592 4528 or Email: email@example.com
Notes to editors
About Trafigura Securitisation Finance Plc
Trafigura Securitisation Finance Plc ("TSF") is the securitisation vehicle of the Trafigura group. Set up as an Irish Special Purpose Vehicle, Trafigura established its trade receivables securitisation programme in 2004. TSF was initially financed in the ABCP market through bank conduits followed by its first term ABS Regs issuance in June 2007 ("Series 2007-1 Notes") and its first 144A/Regs issuance ("Series 2012-1 Notes") in May 2012. The programme has continuously been rated by both Moody's and Standard & Poor's. TSF has access to USD3 bn of external funding.
Founded in 1993, the Trafigura Group has become one of the world's leading independent commodity traders, specialising in the oil, minerals and metals markets. Primary trading activities are the supply and transport of oil and petroleum products and non-ferrous and bulk commodities. The trading business is supported by industrial and financial assets including global oil products distribution company Puma Energy; joint venture company DT Group; global terminals operator Impala; Trafigura's Mining Group and Galena Asset Management. The Trafigura Group is owned by over 700 of its almost 9,000 employees who work in 58 countries. The Group has been connecting its customers to the global economy for more than two decades, growing prosperity by advancing trade.