First Taiwanese ABS to close next week

IBT’s planned NT$3.65 billion ($105 million) debt offer, which was approved by the Ministry of Finance last month, will be Taiwan’s first asset-backed security. Two tranches of notes, backed by 41 loans extended by IBT to companies from 13 industries, will be issued by Land Bank of Taiwan, acting as the special purpose vehicle for the transaction.

Land Bank will issue NT$2.81 billion of senior notes with a maturity of 3.7 years, an expected rating of ‘A’ from local rating agency Taiwan Ratings Corp and carrying a coupon of 2.8%.

IBT’s is expected to be the first of several ABS transactions to be issued in Taiwan this year, including a cross-border transaction planned for the first quarter, according to market sources.

Meanwhile, Chinatrust Commercial Bank mandated Lehman Brothers last September to look at issuing a mortgage-backed security (MBS), First Commercial Bank mandated Deutsche Bank to structure an MBS and Sinopac is also looking at issuing an MBS. Cosmos Bank mandated HypoVereinsbank for an ABS backed by consumer loans.

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here