Russian consumer loans securitisation first explained

Author: Gemma Varriale | Published: 11 Dec 2013
  • The first domestic securitisation of consumer loans has been structured in Russia, in the absence of an asset-backed security (ABS) law;
  • Russia’s ABS law is expected to be passed soon, but the first deals are not expected before 2015;
  • The Home Credit structure includes a local issuer issuing Russian bonds, and a Dutch SPV;
  • The technology allows both international and domestic investors to invest at the same time;
  • Standard & Poor’s report is available at the end of the article.

The first domestic securitisation of consumer loans has been structured in Russia, in the absence of an asset-backed security (ABS) law.

The deal saw RUB5 billion ($151 million) of Russian bonds issued by a special purpose vehicle (SPV), with a coupon rate fixed at 8.25%...