Volta Electricity Receivables Securitisation (VI): 25 June 2018
Whereas the earlier Volta Electricity Receivables was a securitisation of 46% of the outstanding Portuguese electricity system tariff deficits of 2012 and cost deviations of the previous two years (namely 2010 & 2011), this transaction is a securitisation backed by the rights of EDP Serviço Universal S.A. to recover costs, including accrued interest, already partially incurred and still to be incurred by it in 2018 (including the adjustments from the two previous years 2016 and 2017).
EDP Serviço Universal is fully owned by EDP Energias de Portugal SA.
CRR 405: The Assignor (TAGUS – Sociedade de Titularização de Créditos, S.A.) will undertake to retain as “originator” on an ongoing basis at least 5% of the Principal Amount Outstanding of each of the Senior Notes, Liquidity Notes and Class R Notes pursuant to item (a) of Article 405 of the CRR. The Assignor will undertake not to reduce its credit exposure to the Retained Interest either through hedging or the sale or encumbrance of all or part of the Retained Interest.
US Risk Retention: For purposes of the U.S. Risk Retention Rules, the sponsor has determined that it will acquire the Retained Interest, which will constitute an "eligible vertical interest" or "EVI" under the U.S. Risk Retention Rules.