Last week, WestLB launched a $130 million subprime auto ABS for Consumer Portfolio Services, featuring a triple-A wrap from XL Capital Assurance.
This is WestLB’s first term mandate for CPS, although the firm, which is sole lead and structurer on the deal, provided a warehouse line to CPS earlier this year, which was also wrapped by XLCA.
Prior to this transaction, the lender has come to market exclusively with Financial Security Assurance.
In March, while simultaneously acquiring MFN Financial (formerly Mercury Financial), CPS brought a $100 million term deal with Greenwich Capital Markets, wrapped by FSA. Interestingly, MFN closed its own $100 million term deal – again via Greenwich, though with XLCA providing the wrap – within a day of the merger.
Last week’s transaction, which is the debut post-merger securitization for CPS, was structured in two parts: a $50.2 million, 0.2-year A1 class, and an $80.2 million 2.17-year A2 class.
Meanwhile, it is still rumored that WestLB has a home-equity servicing advance deal brewing for an undisclosed issuer, although contacts at the firm declined to comment.
CDO effort beefed up
WestLB’s U.S. securitization effort is coming off an eventful few months, characterized by several weeks of staff restructuring and hires. The firm recently added several members to its CDO group – most notably, group head Peter Tchir – all from Commerzbank Capital Markets. On the flipside, WestLB termed a small handful of securitization staffers, including former group heads Paul Edwards (U.S.) and John Garber (London).