Travel + Leisure Co. Completes $375 Million Term Securitization
Travel + Leisure Co. (NYSE:TNL) has successfully completed a $375 million term securitization transaction, issuing asset-backed notes with an overall weighted average coupon of 5.56%. The advance rate for this transaction was 96.00%. This marks the company's second term securitization of 2024, with improved interest rates and advance rates compared to their March 2024 transaction.
The securitization was structured as follows:
- $169 million of Class A Notes at 5.14% coupon
- $82 million of Class B Notes at 5.29% coupon
- $87 million of Class C Notes at 5.83% coupon
- $37 million of Class D Notes at 7.48% coupon
Travel + Leisure Co. (NYSE:TNL) ha completato con successo una transazione di cartolarizzazione di $375 milioni, emettendo note garantite da attivi con un tasso medio ponderato complessivo del 5,56%. Il tasso di anticipo per questa transazione è stato del 96,00%. Questo segna la seconda cartolarizzazione a termine dell'azienda per il 2024, con tassi di interesse e tassi di anticipo migliorati rispetto alla loro transazione di marzo 2024.
La cartolarizzazione è stata strutturata come segue:
- $169 milioni di Note di Classe A con un coupon del 5,14%
- $82 milioni di Note di Classe B con un coupon del 5,29%
- $87 milioni di Note di Classe C con un coupon del 5,83%
- $37 milioni di Note di Classe D con un coupon del 7,48%
Travel + Leisure Co. (NYSE:TNL) ha completado con éxito una transacción de titulización de $375 millones, emitiendo notas respaldadas por activos con una tasa media ponderada de 5.56%. La tasa de avance para esta transacción fue del 96.00%. Este evento marca la segunda titulización a plazo de la empresa para 2024, con tasas de interés y tasas de avance mejoradas en comparación con su transacción de marzo de 2024.
La titulización se estructuró de la siguiente manera:
- $169 millones de Notas Clase A con un cupón del 5.14%
- $82 millones de Notas Clase B con un cupón del 5.29%
- $87 millones de Notas Clase C con un cupón del 5.83%
- $37 millones de Notas Clase D con un cupón del 7.48%
Travel + Leisure Co. (NYSE:TNL)는 3억 7500만 달러 규모의 유동화 거래를 성공적으로 완료하고, 전반적인 가중 평균 쿠폰이 5.56%인 자산 담보 부채 노트를 발행했습니다. 이번 거래의 선급금 비율은 96.00%였습니다. 이는 2024년 두 번째 유동화 거래로, 2024년 3월 거래에 비해 금리와 선급금 비율이 개선되었습니다.
유동화는 다음과 같이 구조화되었습니다:
- 1억 6900만 달러의 A 클래스 노트, 쿠폰 5.14%
- 8200만 달러의 B 클래스 노트, 쿠폰 5.29%
- 8700만 달러의 C 클래스 노트, 쿠폰 5.83%
- 3700만 달러의 D 클래스 노트, 쿠폰 7.48%
Travel + Leisure Co. (NYSE:TNL) a réussi à réaliser une transaction de titrisation de 375 millions de dollars, en émettant des notes adossées à des actifs avec un coupon moyen pondéré global de 5,56%. Le taux d'avance pour cette transaction était de 96,00%. Cela marque la deuxième titrisation à terme de l'entreprise en 2024, avec des taux d'intérêt et des taux d'avance améliorés par rapport à leur transaction de mars 2024.
La titrisation a été structurée comme suit :
- 169 millions de dollars de notes de classe A à un coupon de 5,14%
- 82 millions de dollars de notes de classe B à un coupon de 5,29%
- 87 millions de dollars de notes de classe C à un coupon de 5,83%
- 37 millions de dollars de notes de classe D à un coupon de 7,48%
Travel + Leisure Co. (NYSE:TNL) hat erfolgreich eine Wertpapierverbriefung in Höhe von 375 Millionen Dollar abgeschlossen, indem Asset-Backed Notes mit einem gewichteten durchschnittlichen Kupon von 5,56% ausgegeben wurden. Der Vorfinanzierungszins für diese Transaktion betrug 96,00%. Dies markiert die zweite Wertpapierverbriefung des Unternehmens im Jahr 2024, mit verbesserten Zinssätzen und Vorfinanzierungsraten im Vergleich zu ihrer Transaktion im März 2024.
Die Verbriefung wurde wie folgt strukturiert:
- 169 Millionen Dollar in Klasse A-Notes mit einem Kupon von 5,14%
- 82 Millionen Dollar in Klasse B-Notes mit einem Kupon von 5,29%
- 87 Millionen Dollar in Klasse C-Notes mit einem Kupon von 5,83%
- 37 Millionen Dollar in Klasse D-Notes mit einem Kupon von 7,48%
- Successful completion of a $375 million term securitization
- Improved interest rates and advance rates compared to March 2024 transaction
- High advance rate of 96.00% achieved
- Overall weighted average coupon of 5.56%
- None.
Travel + Leisure Co.'s recent term securitization involving $375 million in asset-backed notes marks a significant financial maneuver. The weighted average coupon of 5.56% for these notes indicates a better-than-anticipated cost of capital. More importantly, the 96% advance rate is noteworthy as it shows robust confidence from investors in the underlying assets and the company’s financial health. This maneuver helps in refinancing existing debts or funding new projects without diluting equity, thus potentially benefiting shareholders.
From a market perspective, the successful securitization reflects positively on Travel + Leisure Co.'s positioning and market confidence. The issuance of different classes of notes with varying coupon rates points to a well-diversified investor base. The improvement in interest rates and advance rates compared to their previous transaction in March 2024 suggests effective financial management and an appealing investment proposition. This could lead to a stronger market perception and potentially support a positive stock performance in the near term.
Legally, the transaction was carried out under Rule 144A and Regulation S, indicating it was a private placement rather than a public offering. This can be beneficial in terms of regulatory compliance and speed of execution. By not registering under the Securities Act of 1933, Travel + Leisure Co. has potentially reduced the administrative burden and costs associated with public offerings. This strategic choice also suggests that the company has strong relationships with institutional investors who are comfortable with private placements, further underlining investor confidence.
“We are very pleased with the successful completion of our second term securitization of 2024, with interest rate and advance rate improvements over our March 2024 transaction,” said Mike Hug, Chief Financial Officer of Travel + Leisure Co. “These terms reflect the market’s confidence in Travel + Leisure and the quality and dependability of our business.”
Sierra Timeshare 2024-2 Receivables Funding LLC issued
Sierra Timeshare 2024-2 Receivables Funding LLC is an indirect subsidiary of Travel + Leisure Co. The transaction was completed in reliance upon Rule 144A and Regulation S as a placement of securities not registered under the Securities Act of 1933, as amended, or any state securities law. All of such securities having been sold, this announcement of their sale appears as a matter of record only.
About Travel + Leisure Co.
As the world’s leading membership and leisure travel company, Travel + Leisure Co. (NYSE:TNL) transformed the way families vacation with the introduction of the most dynamic points-based vacation ownership program at Club Wyndham, and the first vacation exchange network, RCI. The company delivers more than six million vacations each year at 270+ timeshare resorts worldwide, through tailored travel and membership products, and via Travel + Leisure GO - the signature subscription travel club inspired by the pages of Travel + Leisure magazine. With hospitality and responsible tourism at the heart of all we do, our 19,000+ dedicated associates bring out the best in people and places around the globe. We put the world on vacation. Learn more at travelandleisureco.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240722738583/en/
Investor Contact:
Jill Greer
Investor Relations
(407) 626-4050
IR@travelandleisure.com
Media Contact:
Steven Goldsmith
Public Relations
(407) 626-5882
Steven.Goldsmith@travelandleisure.com
Source: Travel + Leisure Co.
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