Conyers acted as special legal counsel to Global Container Assets 2016 Limited, issuer, on their US$230 million asset-backed securitisation (“ABS”) of a portfolio of 174,157 units/251,521 CEU container boxes with a net value of US$357.8 million. The portfolio is serviced by Singapore-based Buss Global Management Pte. Ltd. and is financed by two tranches of debt: US$200 million of Class A notes were rated ‘A (sf)’ by Standard & Poor’s and US$30 million of Class B notes were rated ‘BBB (sf)’. The transaction was structured as a master trust and allows for additional issuances of one or more series of notes to finance future acquisitions of container portfolios.
The transaction is unique in that it represents the first time a recycled entity has been used on a container box ABS in circumstances where 100% of the portfolio comprises existing assets without the acquisition by the issuer of any additional assets.
Director Julie McLean and Associates Andrew Barnes and Kathleen McBeath of Conyers’ Bermuda Office advised on the matter working alongside Watson Farley Williams.