Bavarian Sky S.A. (Comp German Auto Leases 8): 28 November 2023

As per the earlier transactions (prospectus available on EuroABS) the issue is backed by a portfolio of loan receivables secured on certain cars. BMW Bank is the seller of the receivables and it is one of Germany’s leading automotive banks.

Eligibility criteria (includes): is denominated and payable in Euros; has a fixed interest rate and is fully amortising; at least two due loan instalments have been fully paid; is subject to the laws of Germany; the debtor is neither an employee of BMW nor an officer of BMW.

At the cut-off date (31 October 2023) the portfolio consisted of 69,168 leases. Debtor concentration: top 1 - 0.07%, top 5 - 0.25%, top 20 - 0.72%. Client type: commercial - 75.27%, private - 24.73%. Vehicle type: new - 99.05%, used - 0.95%. WA seasoning is 9.88 months.

EU Risk Retention: The seller has undertaken to retain, on an ongoing basis, at least 5% of the nominal amount of the securitised exposures by retaining the Class B Notes and, in its capacity as Subordinated Lender, providing the Subordinated Loan.

US Risk Retention: The seller does not intend to retain at least 5% of the credit risk of the Notes for the purpose of US Risk Retention rules, but intends to rely on an exemption provided for in Section _20 of the US Risk Retention rules regarding non-US transactions.

STS: The Seller intends to notify ESMA that the transaction will meet the requirements of Articles 20 to 22 of the Securitisation Regulation.

Compare/contrast: Bavarian Sky S.A. (Comp German Auto Leases 7), Silver Arrow S.A. Compartment 16, abc SME Lease Germany (Compartment 9)