MBNA Corporation (NYSE: KRB) announced today that MBNA America Bank, N.A., its wholly owned subsidiary, priced $750 million of five-year floating rate credit card asset backed securities. The securitization from the MBNA Master Credit Card Trust II consists of two classes of publicly traded securities (Class A and Class B) as well as a privately placed collateral invested amount.
The transaction, Series 1997-M, includes $637.5 million Class A (Senior) floating rate asset backed certificates, $56.25 million of Class B (Subordinate) floating rate asset backed certificates and a $56.25 million privately placed floating rate collateral invested amount. The 5.0 year Class A certificates accrue interest at 11 basis points over the three month London Interbank Offered Rate (“LIBOR”). The 5.0 year Class B certificates accrue interest at 27 basis points over the three month LIBOR. Both the Class A and Class B certificates were priced at par. The transaction, which is scheduled to close November 6, 1997, was lead managed by Salomon Brothers Inc, and co-managed by Credit Suisse First Boston, Goldman, Sachs & Co., Merrill Lynch & Co., and J.P. Morgan & Co.
MBNA Corporation, a bank holding company and parent of MBNA America Bank, N.A., a national bank, has $46.2 billion in managed loans. MBNA, the country’s second largest credit card lender, also provides retail deposit, consumer loan, insurance, and card acceptance services.Details