Bavarian Sky UK 5 plc: 02 May 2023
This will be the fifth public securitisation by BMW Financial Services (GB) Limited of UK-originated assets. The transaction is backed by a portfolio of hire purchase receivables originated pursuant to PCP Agreements in relation to certain passenger cars, light commercial vehicles or motorcycles and certain other collateral more specifically described in the prospectus.
At the cut-off date (31 March 2023) the provisional portfolio consisted of 27,810 PCP contracts, where the average current discounted balance is £19,756 and the largest is £94,697. Car type (by discounted balance): New – 50.23%, Used – 49.77%. Customer type: Individual – 100.0%. The WA seasoning is 15.8 months. Regional distribution (by discounted balance): South East England – 16.83%, North West – 12.89%, Scotland – 11.81% and East of England – 10.91%.
Significant Investor: On the Issue Date, BMW Financial Services (GB) Limited will hold all of the Class B Notes and the Class C Notes.
UK & EU Risk Retention: The Seller, as "originator" for the purposes of the UK Securitisation Regulation, will retain for the life of the transaction a material net economic interest of not less than 5% in the transaction in accordance with (a) Article 6(1) of the UK Securitisation Regulation and (b) Article 6(1) of the EU Securitisation Regulation.
US Risk Retention Rules: The Seller, as the sponsor under the US Risk Retention Rules, does not intend to retain at least 5% of the credit risk of the Notes for purposes of the US Risk Retention Rules, but rather intends to rely on an exemption provided for in Section 20 of the US Risk Retention Rules regarding non-US transactions.
STS: The Seller confirms that it will make a STS notification to ESMA that the Notes are a STS-compliant securitisation pursuant to Article 18 of the Securitisation Regulation.
Compare/contrast: Bavarian Sky UK 4 plc, Dowson 2022-2 plc, Motor Securities 2022-1 DAC