Second UBS CDO Converts CP To Term Notes

Laguna ABS CDO is the second UBS-underwritten collateralized debt obligation in a week forced to convert its commercial paper into another AAA tranche, according to Moody’s Investors Service.

  • 21 Nov 2007
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--Aaron Johnson

Laguna ABS CDO is the second UBS-underwritten collateralized debt obligation in a week forced to convert its commercial paper into another AAA tranche, according to Moody’s Investors Service. The rating agency has withdrawn its ratings on the deal as a result of the change. Issuers are forced into such rare conversions only when investors willing to purchase the commercial at the pre-specified spread are not available (TS, 11/14).

After converting its $632 million of commercial paper, the $1.3 billion Laguna ABS CDO now has $1.1 billion of AAA term notes. The deal closed in October 2004 and is managed by PIMCO.

The Belle Haven ABS CDO managed by NIBC Credit Management and underwritten by UBS was also forced into the unusual change, converting $516 million of commercial paper. That deal closed just two months after Laguna.

UBS and PIMCO officials did not return calls for comment.

  • 21 Nov 2007

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 Bank of America Merrill Lynch (BAML) 3,319 10 12.84
2 Citi 2,562 6 9.92
3 Goldman Sachs 2,150 3 8.32
4 Credit Suisse 1,822 6 7.05
5 Societe Generale 1,814 4 7.02

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 22 May 2017
1 Citi 41,255.30 117 12.99%
2 Bank of America Merrill Lynch 37,631.92 109 11.85%
3 Wells Fargo Securities 32,082.26 89 10.11%
4 JPMorgan 20,969.41 64 6.60%
5 Credit Suisse 16,754.47 44 5.28%