Conyers advised Textainer Group Holdings Limited (NYSE:TGH) (“Textainer” or the “Company”) in connection with three issuances totalling US$1.279 billion of Fixed Rate Asset Backed Notes (the “Notes”) by its subsidiary Textainer Marine Containers VII Limited (“TMCL VII”). The Notes issuances closed on 20 August 2020 and 21 September 2020. The Notes were issued to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933 (the “Act”) and to non-U.S. persons in accordance with Regulations promulgated under the Act.
The Notes comprise of US$1.126 billion in Class A and US$153 million in Class B Notes rated A(sf) and BBB(sf), respectively, by Standard & Poor’s.
The proceeds from the issuance of the Notes were primarily used to pay down existing bank facilities, enabling the Company to acquire new intermodal shipping containers and related assets. The Notes are secured by a pledge of TMCL VII’s assets. The Notes allowed the Company to benefit from the current low rate environment.
The Notes issuance represents one of the largest ABS transactions in the history of the intermodal containers leasing industry.
Director Sophia Greaves and Associates Andrew Barnes and Jacari Brimmer-Landy of the Bermuda office worked on the matter.