Deals & Cases

Swisscard AECS GmbH: 2019-1 Credit Card ABS Transaction

22 May 2019 – On 20 May 2019, Swisscard AECS GmbH (the Originator) launched its seventh credit card securitization transaction involving the issue by Swiss Credit Card Issuance 2019-1 AG (Issuer) of CHF 190,800,000 Asset-Backed Class A Notes (due 2024) (Coupon of 0.004 per cent), CHF 6,200,000 Asset-Backed Class B Notes (due 2024) (Coupon of 0.75 per cent) and CHF 3,000,000 Asset-Backed Class C Notes (due 2024) (Coupon of 1.750 per cent) to the Swiss capital market. All Notes will be listed on the SIX Swiss Exchange and will be backed by a portfolio of Swiss Visa, MasterCard, and American Express credit card receivables originated by Swisscard – a joint venture between Credit Suisse and American Express. The transaction will be again issued through Swisscard’s credit card receivables securitization platform. The proceeds of the transaction will mainly be used to refinance the Originator’s 2016-1 securitization transaction. The transaction settled on 17 June 2019.

Also, the transaction has been structured to reflect the fact that the servicer role will be formally transferred from Credit Suisse to Swisscard. Simultaneously, the Swisscard's credit card receivables securitization platform and the current 2015-2 and 2018-1 credit card securitization transactions have been partially amended and restated to reflect and address the change of servicer.

Walder Wyss advised Swisscard as transaction counsel on the overall structuring and all Swiss legal, tax and VAT aspects of the transaction. The Walder Wyss team was lead by Lukas Wyss (Partner, Finance) and included Johannes A. Bürgi (Partner, Finance), Thomas Meister (Partner, Tax), Jan Ole Luuk (Counsel, VAT), Julia Lehner (Associate, Finance), Janine Corti (Associate, Tax) and Philipp Husi (Trainee, Finance).