Hogan Lovells advises Volkswagen Leasing GmbH in the first public STS securitization transaction
Led by Frankfurt partner Sven Brandt, Hogan Lovells has advised Volkswagen Leasing GmbH in the first public STS securitization transaction in the European asset backed securities market. The transaction, with a volume of around EUR 1bn, securitized 76,000 leasing contracts for vehicles of the brands Volkswagen, Audi, Skoda and Volkswagen Nutzfahrzeuge. The matter closed on 25 April 2019.
The new EU securitization regulation, which has created a set of common rules and criteria for all simple, transparent and standardized transactions (STS) in the EU, aims to revive the EU's securitization market. This new class of high-quality securitization, a key building block of the Capital Markets Union, applies to all securitization transactions post 1 January, 2019. For this particular transaction, the STS quality criterion was verified by STS Verification International, a verification institution that has only recently been approved by the German regulator Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin).
"The STS segment imposes very high standards for the quality of the securitized assets and creates transparency for investors. We are delighted that we had the opportunity to advise Volkswagen Leasing on the first public issue under this new European seal of quality", said Sven Brandt, head of the Hogan Lovells German debt capital markets team in Frankfurt.
Hogan Lovells for Volkswagen Leasing GmbH
Dr. Sven Brandt (Partner), Sebastian Oebels (Senior Associate) (both International Debt Capital Markets, Frankfurt);
Sharon Lewis (Partner), Ailsa Davies (Senior Associate) (both International Debt Capital Markets, Paris);
Ariane Mehrshahi (Counsel), Agnes Merz (Trainee) (both International Debt Capital Markets, Luxemburg);
Dr. Heiko Gemmel (Partner), Nico Neukam (Counsel) (both Tax, Dusseldorf);
Gérard Neiens (Partner), Jean-Philippe Monmousseau (Senior Associate), Pierre-Luc Wolff (Associate) (all Tax, Luxemburg).