Toyota announces first ever auto ABS green bond

Tuesday, 11 March 2014 01:00 - - {{hitsCtrl.values.hits}}

IFR: Toyota announced details of the first-ever “green bond” in the US auto ABS market on Monday, setting the size at $ 1.25 billion. Leads Citi Bank of America, Merrill Lynch and Morgan Stanley will sell three tranches of the deal for $ 774.675 million, comprising of three Triple A rated tranches. Citi structured the issue.

The leads will offer $ 360 million of the $ 400 million A2 tranche, $ 308.7 million of the $ 343.5 million A3 tranche and $ 105.975 million of the $ 117.75 million A4 tranche. BNP Paribas, Credit Agricole, JP Morgan and Mizuho are co-managers on the deal, which will finance future loans and leases of hybrid, electric and alternative-fuel vehicles. The deal, flagged by IFR last week, is expected to price by mid-week.