ECB boost unclear in Banif’s popular Atlantes SME ABS

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By Tom Porter
18 Sep 2014

ABS bankers believe the success of Banco Internacional do Funchal’s (Banif) dual tranche SME CLO this week is not indicative of a fresh bid for periphery names in anticipation of the European Central Bank’s ABS purchase programme, but rather confirmation that there is already a great degree of comfort with higher risk ABS among investors.

Atlantes AME 4 offered investors €465m of A-/A rated 1.35 year bonds, in addition to €55m of BBB/BBB rated 2.93 year mezzanine notes. The tranches carry high credit enhancement of 48.2% and 41.9%, respectively, mostly provided by two unrated subordinate notes totalling €366.4m.

The senior notes were set ...

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