New asset class emerges as BNP sells novel trade commodity securitization

BNP Paribas has created a new asset class for investors by selling a novel $131.6m securitization that cleverly marries techniques from the trade receivables world and the CLO world. Called Lighthouse Trade Finance Issuer I, the deal — rated AAA by Fitch Ratings — is thought to be the first such securitization backed by short-term loans made to corporates which are then used to fund commodity trade flows such as oil and metal shipments via vessels or through pipelines.

  • By Joseph McDevitt
  • 22 Aug 2013

The bond will finance the funding gap between payments made to the suppliers and the receipt of the final buyers’ payments, BNP Paribas said.

The capital structure comprises a senior $100m class ‘A’ tranche, a $20m class ‘B’ slice and $5m of subordinated notes. The deal will ...

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New! GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 Citi 7,029 20 10.95
2 Bank of America Merrill Lynch (BAML) 6,703 19 10.45
3 JP Morgan 4,776 10 7.44
4 Credit Suisse 4,718 9 7.35
5 Deutsche Bank 4,262 13 6.64

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 17 Oct 2016
1 Wells Fargo Securities 67,591.81 167 11.54%
2 Bank of America Merrill Lynch 57,568.62 162 9.83%
3 JPMorgan 55,390.36 159 9.46%
4 Citi 55,051.46 160 9.40%
5 Credit Suisse 43,756.73 120 7.47%