/raid1/www/Hosts/bankrupt/TCREUR_Public/250414.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
E U R O P E
Monday, April 14, 2025, Vol. 26, No. 74
Headlines
A Z E R B A I J A N
PASHA INSURANCE: S&P Withdraws 'BB+' LT Issuer Credit Rating
G E R M A N Y
FORTUNA 2025-1: Fitch Assigns 'B+sf' Final Rating to Class G Notes
I R E L A N D
NEUBERGER BERMAN 7: Fitch Assigns 'B-(EXP)sf' Rating to Cl. F Notes
PALMER SQUARE 2024-1: Moody's Assigns Ba3 Rating to Class E-R Notes
RAVENSDALE PARK: S&P Assigns B- (sf) Rating to Class F Notes
RRE 25: S&P Assigns BB- (sf) Rating to Class D Notes
P O R T U G A L
LUSITANO MORTGAGES NO. 6: S&P Raises Class E Notes Rating to 'CCC'
S P A I N
VALENCIA HIPOTECARIO 3: Moody's Ups Rating on Class D Notes to Caa2
U N I T E D K I N G D O M
BELLIS FINCO: Moody's Affirms 'B1' CFR, Alters Outlook to Negative
BIG HELP: Grant Thornton Named as Joint Administrators
EAGLE PLATFORMS: Leonard Curtis Named as Joint Administrators
FOXANO LIMITED: Keenan Corporate Named as Joint Administrators
HANWHA PHASOR: MHA Named as Administrators
JETLINE TRAVEL: Administrators Tapped for Travel Agent
KINGFISHER RESORTS: Milsted Langdon Named as Joint Administrators
NEWDAY FUNDING 2025-1: Fitch Assigns 'BB-' Final Rating to F Notes
ONCIMMUNE HOLDINGS: Arafino Advisory Named as Joint Administrators
YACHTING PARTNERS: Quantuma Advisory Named as Administrators
- - - - -
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A Z E R B A I J A N
===================
PASHA INSURANCE: S&P Withdraws 'BB+' LT Issuer Credit Rating
------------------------------------------------------------
S&P Global Ratings withdrew its 'BB+' long-term issuer credit and
insurer financial strength ratings on PASHA Insurance OJSC at the
company's request. The outlook was stable at the time of the
withdrawal.
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G E R M A N Y
=============
FORTUNA 2025-1: Fitch Assigns 'B+sf' Final Rating to Class G Notes
------------------------------------------------------------------
Fitch Ratings has assigned Fortuna Consumer Loan ABS 2025-1
Designated Activity Company's class A to G notes final ratings, as
listed below.
Entity/Debt Rating Prior
----------- ------ -----
Fortuna Consumer Loan
ABS 2025-1 Designated
Activity Company
A XS3030349511 LT AAAsf New Rating AAA(EXP)sf
B XS3030350527 LT AA-sf New Rating AA-(EXP)sf
C XS3030349354 LT A-sf New Rating A-(EXP)sf
D XS3030351418 LT BBB-sf New Rating BBB-(EXP)sf
E XS3031451506 LT BB+sf New Rating BB+(EXP)sf
F XS3030351848 LT BB-sf New Rating BB-(EXP)sf
G XS3030352499 LT B+sf New Rating B+(EXP)sf
X XS3030353034 LT NRsf New Rating NR(EXP)sf
Transaction Summary
Fortuna Consumer Loan ABS 2025-1 DAC is a true-sale securitisation
of a 12-month revolving pool of unsecured consumer loans sold by
auxmoney Investments Limited. The securitised consumer loan
receivables are derived from loan agreements entered into between
Sud-West-Kreditbank Finanzierung GmbH (SWK) and individuals in
Germany, brokered by auxmoney GmbH via its online lending
platform.
KEY RATING DRIVERS
Comparatively Large Loss Expectations: The assumed loss rates are
at the high end of Fitch-rated German unsecured consumer loan
transactions. Fitch views the credit score calculated by auxmoney
as the key asset performance driver. Fitch assumes a lower weighted
average (WA) default base case of 8.7% compared with 9.4% in the
predecessor deal. This reflects substantially lower concentrations
at the high-risk end of auxmoney's score classes, while default
expectations per score class are unchanged.
Fitch applied a WA default multiple of 4.0x at 'AAAsf' for the
total portfolio. Fitch assumed a recovery base case of 30%,
slightly below the 33% of the predecessor deal, reflecting lower
expected non-performing loan sale proceeds.
Transaction Structure Adds Risk: The transaction features pro-rata
amortisation and a 12-month revolving period. Both are subject to
performance triggers, of which Fitch views the principal deficiency
ledger trigger as most likely to be breached. Replenishment adds
some uncertainty to asset performance, which has been reflected in
its asset assumptions. Pro-rata amortisation can extend the life of
the senior notes and expose them to adverse developments towards
the end of the transaction's life. This has been accounted for in
its cash flow modelling.
Hedging Structure Exposed to Mismatches: Interest-rate risk is
hedged using a vanilla interest-rate swap with a fixed schedule, in
line with the predecessor deal. The actual amortisation profile of
the portfolio and the hedged notes can differ substantially from
the fixed schedule, depending on default rates, prepayments and the
length of the revolving period. High defaults and prepayments would
expose the structure to over-hedging, which reduces excess spread
in a decreasing interest rate environment.
Bespoke Operational and Servicing Set-Up: Auxmoney operates a data-
and technology-driven lending platform that connects borrowers and
investors on a fully digitalised basis. CreditConnect GmbH, a
subsidiary of auxmoney, is the servicer, with some servicing duties
being performed by SWK. In line with the previous three
transactions, no back-up servicer will be appointed at closing.
Nonetheless, Fitch believes that the current set-up and the
division of responsibilities between the two entities sufficiently
reduce servicing continuity risk. Payment interruption risk is
reduced by a liquidity reserve, which covers more than three months
of senior expenses and interest on the class A to F notes but
excludes the class G notes.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
Expected impact on the notes' ratings of increased defaults (class
A/B/C/D/E/F/G)
Increase default rates by 10%:
'AA+sf'/'A+sf'/'BBBsf'/'BB+sf'/'BBsf'/'BB-sf'/'CCCsf'
Increase default rates by 25%:
'AAsf'/'Asf'/'BBBsf'/'BBsf'/'B+sf'/'B-sf'/'NRsf'
Increase default rates by 50%:
'A+sf'/'BBB+sf'/'BBB-sf'/'BB-sf'/'CCCsf'/'NRsf'/'NRsf'
Expected impact on the notes' ratings of reduced recoveries (class
A/B/C/D/E/F/G)
Reduce recovery rates by 10%:
'AA+sf'/'A+sf'/'BBB+sf'/'BBB-sf'/'BBsf'/'BB-sf'/'Bsf'
Reduce recovery rates by 25%:
'AA+sf'/'A+sf'/'BBBsf'/'BB+sf'/'BBsf'/'BB-sf'/'B-sf'
Reduce recovery rates by 50%:
'AA+sf'/'Asf'/'BBBsf'/'BB+sf'/'BB-sf'/'B+sf'/'CCCsf'
Expected impact on the notes' ratings of increased defaults and
reduced recoveries (class A/B/C/D/E/F/G)
Increase default rates by 10% and reduce recovery rates by 10%:
'AA+sf'/'Asf'/'BBBsf'/'BB+sf'/'BBsf'/'B+sf'/'CCCsf'
Increase default rates by 25% and reduce recovery rates by 25%:
'AAsf'/'A-sf'/'BBBsf'/'BBsf'/'B-sf'/'CCCsf'/'NRsf'
Increase default rates by 50% and reduce recovery rates by 50%:
'Asf'/'BBBsf'/'BBsf'/'B-sf'/'NRsf'/'NRsf'/'NRsf'
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
The class A notes are rated at the highest level of Fitch's scale
and cannot be upgraded.
Expected impact on the notes' ratings of reduced defaults and
increased recoveries (class B/C/D/E/F/G)
Reduce default rates by 10% and increase recoveries by 10%:
'AAsf'/'A-sf'/'BBBsf'/'BB+sf'/'BB+sf'/'BBsf'
Reduce default rates by 25% and increase recoveries by 25%:
'AA+sf'/'A+sf'/'A-sf'/'BBBsf'/'BBB-sf'/'BB+sf'
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.
DATA ADEQUACY
Fitch reviewed the results of a third party assessment conducted on
the asset portfolio information, and concluded that there were no
findings that affected the rating analysis.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
ESG Considerations
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' means ESG
issues are credit-neutral or have only a minimal credit impact on
the entity, either due to their nature or the way in which they are
being managed by the entity. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
=============
I R E L A N D
=============
NEUBERGER BERMAN 7: Fitch Assigns 'B-(EXP)sf' Rating to Cl. F Notes
-------------------------------------------------------------------
Fitch Ratings has assigned Neuberger Berman Loan Advisers Euro CLO
7 DAC's expected ratings.
The assignment of final ratings is contingent on the receipt of
final documents conforming to information already received.
Entity/Debt Rating
----------- ------
Neuberger Berman Loan
Advisors Euro CLO 7 DAC
A-1 LT AAA(EXP)sf Expected Rating
A-2 LT AAA(EXP)sf Expected Rating
B LT AA(EXP)sf Expected Rating
C LT A(EXP)sf Expected Rating
D LT BBB-(EXP)sf Expected Rating
E LT BB-(EXP)sf Expected Rating
F LT B-(EXP)sf Expected Rating
Subordinated Notes LT NR(EXP)sf Expected Rating
Transaction Summary
Neuberger Berman Loan Advisers Euro CLO 7 DAC is a securitisation
of mainly senior secured loans and secured senior bonds (at least
90%), with a component of senior unsecured, mezzanine and
second-lien loans. Note proceeds will be used to fund a portfolio
with a target par of EUR300 million. The portfolio will be actively
managed by Neuberger Berman Europe Limited. The CLO has a 4.6-year
reinvestment period and a 7.5-year weighted average life (WAL)
test.
KEY RATING DRIVERS
Average Portfolio Credit Quality (Neutral): Fitch assesses the
average credit quality of obligors to be in the 'B' category. The
Fitch weighted average rating factor of the identified portfolio is
23.7.
High Recovery Expectations (Positive): At least 90% of the
portfolio will comprise senior secured obligations (96% if the
class A-1 investor holds the majority of the class A-1 notes).
Fitch views the recovery prospects for these assets as more
favourable than for second-lien, unsecured and mezzanine assets.
The Fitch weighted average recovery rate of the identified
portfolio is 62.8%.
Diversified Portfolio (Positive): The transaction includes various
concentration limits in the portfolio, including the top-10 obligor
concentration limit at 20% and the maximum exposure to the three
largest (Fitch-defined) industries in the portfolio at 40%. These
covenants ensure the asset portfolio will not be exposed to
excessive concentration.
One year after closing the issuer could extend the WAL test by one
year, if the collateral principal amount (defaulted obligations at
the lower of their market value and Fitch recovery rate) is at
least at the target par and if the transaction is passing all of
its tests.
Portfolio Management (Neutral): The transaction has an
approximately 4.6-year reinvestment period and reinvestment
criteria similar to those of other European transactions. Fitch's
analysis is based on a stressed-case portfolio with the aim of
testing the robustness of the transaction structure against its
covenants and portfolio guidelines.
Cash Flow Modelling (Positive): Fitch reduced the WAL used for the
transaction's stress portfolio analysis by one year, down to 6.5
years. This accounts for the strict reinvestment conditions
envisaged by the transaction after its reinvestment period. These
conditions include, among others, passing both the coverage tests
and the Fitch 'CCC' maximum limit, as well as a WAL covenant that
progressively steps down, both before and after the end of the
reinvestment period. Fitch believes these conditions would reduce
the effective risk horizon of the portfolio during the stress
period.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
A 25% increase of the mean default rate (RDR) and a 25% decrease of
the recovery rate (RRR) across all ratings of the identified
portfolio would lead to downgrades of one notch for the class E
notes, to below 'B-sf' for the class F notes and have no impact on
the class A-1 to class D notes.
Based on the identified portfolio, downgrades may occur if the loss
expectation is larger than initially assumed, due to unexpectedly
high levels of default and portfolio deterioration. Due to the
better metrics and shorter life of the identified portfolio than
the Fitch-stressed portfolio, the class C notes have a cushion of
three notches, the class B and D to F notes of two notches, and the
class A-1 and A-2 notes have no rating cushion.
Should the cushion between the identified portfolio and the
Fitch-stressed portfolio be eroded due to manager trading or
negative portfolio credit migration, a 25% increase of the mean RDR
and a 25% decrease of the RRR across all ratings of the
Fitch-stressed portfolio would lead to downgrades of up to four
notches for the class A-2 to C notes, three notches for class A-1
and class D; and to below 'B-sf' for the class E and F notes.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
A 25% reduction of the mean RDR across all ratings and a 25%
increase in the RRR across all ratings of the Fitch-stressed
portfolio would lead to upgrades of up to three notches for the
notes, except for the 'AAAsf' rated notes, which are at the highest
level on Fitch's scale and cannot be upgraded.
During the reinvestment period, based on the Fitch-stressed
portfolio, upgrades may occur on better-than-expected portfolio
credit quality and a shorter remaining WAL test, meaning the notes
are able to withstand larger-than-expected losses for the
transaction's remaining life. After the end of the reinvestment
period, upgrades may occur on stable portfolio credit quality and
deleveraging, leading to higher credit enhancement and excess
spread available to cover losses in the remaining portfolio.
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.
DATA ADEQUACY
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
ESG Considerations
Fitch does not provide ESG relevance scores for Neuberger Berman
Loan Advisors Euro CLO 7 DAC. In cases where Fitch does not provide
ESG relevance scores in connection with the credit rating of a
transaction, programme, instrument or issuer, Fitch will disclose
any ESG factor that is a key rating driver in the key rating
drivers section of the relevant rating action commentary.
PALMER SQUARE 2024-1: Moody's Assigns Ba3 Rating to Class E-R Notes
-------------------------------------------------------------------
Moody's Ratings announced that it has assigned the following
definitive ratings to refinancing notes issued by Palmer Square
European Loan Funding 2024-1 Designated Activity Company (the
"Issuer"):
EUR254,911,315 Class A-R Senior Secured Floating Rate Notes due
2033, Assigned Aaa (sf)
EUR45,000,000 Class B-R Senior Secured Floating Rate Notes due
2033, Assigned Aa1 (sf)
EUR25,000,000 Class C-R Senior Secured Deferrable Floating Rate
Notes due 2033, Assigned A2 (sf)
EUR20,900,000 Class D-R Senior Secured Deferrable Floating Rate
Notes due 2033, Assigned Baa3 (sf)
EUR21,000,000 Class E-R Senior Secured Deferrable Floating Rate
Notes due 2033, Assigned Ba3 (sf)
RATINGS RATIONALE
The rationale for the ratings is based on a consideration of the
risks associated with the CLO's portfolio and structure as
described in Moody's methodologies.
Palmer Square European Loan Funding 2024-1 Designated Activity
Company, issued in April 2024, is a static CLO. The issued notes
are collateralized primarily by broadly syndicated senior secured
corporate loans.
Palmer Square Europe Capital Management LLC ("Palmer Square") will
continue to sell assets on behalf of the Issuer during the life of
the transaction. Reinvestment is not permitted and all sales and
principal proceeds received will be used to amortize the notes in
sequential order.
The transaction incorporates interest and par coverage tests which,
if triggered, divert interest and principal proceeds to pay down
the notes in order of seniority.
In addition to the five classes of notes rated by us, the Issuer
has originally issued EUR36.7 million of Subordinated Notes which
remain outstanding and are not rated.
Methodology Underlying the Rating Action:
The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
May 2024.
Factors that would lead to an upgrade or downgrade of the ratings:
The rated notes' performance is subject to uncertainty. The notes'
performance is sensitive to the performance of the underlying
portfolio, which in turn depends on economic and credit conditions
that may change. The collateral manager's investment decisions and
management of the transaction will also affect the notes'
performance.
Moody's modeled the transaction using a cash flow model based on
the Binomial Expansion Technique, as described in Moody's
methodologies.
Moody's used the following base-case modeling assumptions:
Performing par and principal proceeds balance: EUR409,386,189
Diversity Score: 58
Weighted Average Rating Factor (WARF): 2848
Weighted Average Spread (WAS): 3.65%
Weighted Average Coupon (WAC): 3.96%
Weighted Average Recovery Rate (WARR): 44.23%
Weighted Average Life (WAL): 3.99 years
RAVENSDALE PARK: S&P Assigns B- (sf) Rating to Class F Notes
------------------------------------------------------------
S&P Global Ratings assigned its credit ratings to Ravensdale Park
CLO DAC's class A, B-1, B-2, C, D, E, and F notes. The issuer also
issued unrated subordinated notes.
The reinvestment period will be approximately 4.50 years, while the
noncall period will end 1.50 years after closing.
Under the transaction documents, the rated notes pay quarterly
interest unless there is a frequency switch event. Following this,
the notes will switch to semiannual payment.
The ratings assigned to the notes reflect S&P's assessment of:
-- The diversified collateral pool, which primarily comprises
broadly syndicated speculative-grade senior secured term loans and
bonds that are governed by collateral quality tests.
-- The credit enhancement provided through the subordination of
cash flows, excess spread, and overcollateralization.
-- The collateral manager's experienced team, which can affect the
performance of the rated notes through collateral selection,
ongoing portfolio management, and trading.
-- The transaction's legal structure, which is bankruptcy remote.
-- The transaction's counterparty risks, which are in line with
S&P's counterparty rating framework.
Portfolio benchmarks
S&P Global Ratings' weighted-average rating factor 2,925.18
Default rate dispersion 503.38
Weighted-average life (years) 4.31
Weighted-average life (years) extended
to cover the length of the reinvestment period 4.54
Obligor diversity measure 132.48
Industry diversity measure 19.86
Regional diversity measure 1.23
Transaction key metrics
Total par amount (mil. EUR) 500.00
Defaulted assets (mil. EUR) 0.00
Number of performing obligors 151
Portfolio weighted-average rating
derived from S&P's CDO evaluator B
'CCC' category rated assets (%) 2.05
Target 'AAA' weighted-average recovery (%) 36.91
Target weighted-average spread (net of floors; %) 3.72
Target weighted-average coupon (%) N/A
N/A--Not applicable.
S&P's ratings reflect its assessment of the collateral portfolio's
credit quality, which has a weighted-average rating of 'B'.
S&P said, "The portfolio is well-diversified, primarily comprising
broadly syndicated speculative-grade senior secured term loans and
senior secured bonds. Therefore, we conducted our credit and cash
flow analysis by applying our criteria for corporate cash flow
CDOs.
"The transaction includes an amortizing reinvestment target par
amount, which is a predetermined reduction in the value of the
transaction's target par amount unrelated to the principal payments
on the notes. This may allow for the principal proceeds to be
characterized as interest proceeds when the collateral par exceeds
this amount, subject to a limit, and affect the reinvestment
criteria, among others. This feature allows some excess par to be
released to equity during benign times, which may lead to a
reduction in the amount of losses that the transaction can sustain
during an economic downturn. Hence, in our cash flow analysis, we
assumed a starting collateral size of less than target par (i.e.,
the EUR500 million target par minus the EUR7.5 million maximum
reinvestment target par adjustment amount).
"In our cash flow analysis, we also modeled the covenanted
weighted-average spread of 3.60%, the covenanted weighted-average
coupon of 3.50%, and the targeted weighted-average recovery rates
at each rating level except for 'AAA' where we have a 1% cushion on
the target weighted-average recovery. We applied various cash flow
stress scenarios, using four different default patterns, in
conjunction with different interest rate stress scenarios for each
liability rating category.
"The transaction's documented counterparty replacement and remedy
mechanisms adequately mitigate its exposure to counterparty risk
under our current counterparty criteria.
"Under our structured finance sovereign risk criteria, the
transaction's exposure to country risk is sufficiently mitigated at
the assigned ratings.
"The transaction's legal structure and framework is bankruptcy
remote, in line with our legal criteria.
"The issuer has purchased some of the portfolio from two secured
special-purpose vehicle (SPV) grantors via participations; we
consider this purchase to comply with our legal criteria. The
transaction documents also require that the issuer and secured SPV
grantors use commercially reasonable efforts to elevate the
participations by transferring to the issuer the legal and
beneficial interests as soon as reasonably practicable following
the closing date.
"Our credit and cash flow analysis indicates that the available
credit enhancement for the class B-1, B-2, C, and D notes could
withstand stresses commensurate with higher ratings than those
assigned. However, as the CLO will be in its reinvestment phase
starting from the effective date, during which the transaction's
credit risk profile could deteriorate, we have capped our ratings
assigned to the notes."
The class A, E, and F notes can withstand stresses commensurate
with the assigned ratings.
S&P said, "Following our analysis of the credit, cash flow,
counterparty, operational, and legal risks, we believe that our
ratings are commensurate with the available credit enhancement for
the class A, B-1, B-2, C, D, E, and F notes.
"In addition to our standard analysis, we have also included the
sensitivity of the ratings on the class A to E notes, based on four
hypothetical scenarios.
"As our ratings analysis makes additional considerations before
assigning ratings in the 'CCC' category, and we would assign a 'B-'
rating if the criteria for assigning a 'CCC' category rating are
not met, we have not included the above scenario analysis results
for the class F notes."
Environmental, social, and governance
S&P said, "We regard the exposure to environmental, social, and
governance (ESG) credit factors in the transaction as being broadly
in line with our benchmark for the sector. For this transaction,
the documents prohibit assets from being related to certain
industries.
"Since the exclusion of assets from these industries does not
result in material differences between the transaction and our ESG
benchmark for the sector, no specific adjustments have been made in
our rating analysis to account for any ESG-related risks or
opportunities."
Ravensdale Park CLO is a European cash flow CLO securitization of a
revolving pool, comprising euro-denominated senior secured loans
and bonds issued mainly by speculative-grade borrowers. Blackstone
Ireland Ltd. manages the transaction.
Ratings list
Amount Credit
Class Rating* (mil. EUR) enhancement (%) Interest rate§
A AAA (sf) 310.00 38.00 Three/six-month EURIBOR
plus 1.17%
B-1 AA (sf) 47.50 26.50 Three/six-month EURIBOR
plus 1.65%
B-2 AA (sf) 10.00 26.50 4.375%
C A (sf) 27.50 21.00 Three/six-month EURIBOR
plus 1.95%
D BBB- (sf) 35.00 14.00 Three/six-month EURIBOR
plus 2.70%
E BB- (sf) 23.75 9.25 Three/six-month EURIBOR
plus 4.75%
F B- (sf) 13.80 6.49 Three/six-month EURIBOR
plus 7.35%
Sub notes NR 39.10 N/A N/A
*The ratings assigned to the class A, B-1, and B-2 notes address
timely interest and ultimate principal payments. The ratings
assigned to the class C, D, E, and F notes address ultimate
interest and principal payments.
§The payment frequency switches to semiannual and the index
switches to six-month EURIBOR when a frequency switch event occurs.
EURIBOR--Euro Interbank Offered Rate.
NR--Not rated.
N/A--Not applicable.
RRE 25: S&P Assigns BB- (sf) Rating to Class D Notes
----------------------------------------------------
S&P Global Ratings assigned its credit ratings to RRE 25 Loan
Management DAC's class A-1 loan and class A-1 to D notes. The
issuer also issued unrated performance, preferred return, and
subordinated notes.
This is a European cash flow CLO transaction, securitizing a
portfolio of primarily senior secured leveraged loans and bonds.
The transaction is managed by Redding Ridge Asset Management (UK)
LLP.
The ratings assigned to RRE 25 Loan Management DAC's loan and notes
reflect our assessment of:
-- The diversified collateral pool, which primarily comprises
broadly syndicated speculative-grade senior secured term loans and
bonds that are governed by collateral quality tests.
-- The credit enhancement provided through the subordination of
cash flows, excess spread, and overcollateralization.
-- The collateral manager's experienced team, which can affect the
performance of the rated notes through collateral selection,
ongoing portfolio management, and trading.
-- The transaction's legal structure, which is bankruptcy remote.
-- The transaction's counterparty risks, which are in line with
S&P's counterparty rating framework.
Under the transaction documents, the rated loan and notes will pay
quarterly interest unless there is a frequency switch event.
Following this, the notes will permanently switch to semiannual
payments.
The portfolio's reinvestment period will end approximately 4.5
years after closing, and the portfolio's maximum average maturity
date is approximately nine years after closing.
Portfolio benchmarks
S&P Global Ratings' weighted-average rating factor 2,708.67
Default rate dispersion 560.72
Weighted-average life including reinvestment(years) 4.73
Obligor diversity measure 114.46
Industry diversity measure 19.22
Regional diversity measure 1.31
Transaction key metrics
Total par amount (mil. EUR) 500
Defaulted assets (mil. EUR) 0
Number of performing obligors 150
Portfolio weighted-average rating
derived from S&P's CDO evaluator B
'CCC' category rated assets (%) 1.68
Target 'AAA' weighted-average recovery (%) 37.56
Target portfolio weighted-average spread (%) 3.62
S&P said, "The portfolio is well-diversified, primarily comprising
broadly syndicated speculative-grade senior secured term loans and
senior secured bonds. Therefore, we have conducted our credit and
cash flow analysis by applying our criteria for corporate cash flow
CDOs. As such, we have not applied any additional scenario and
sensitivity analysis when assigning ratings to any class of loan
and notes in this transaction.
"In our cash flow analysis, we used the EUR500 million target par
amount, the covenanted weighted-average spread (3.62%), and the
covenanted weighted-average coupon (3.28%) indicated by the
collateral manager. We assumed weighted-average recovery rates in
line with those of the actual portfolio presented to us. We applied
various cash flow stress scenarios, using four different default
patterns, in conjunction with different interest rate stress
scenarios for each liability rating category.
"Our credit and cash flow analysis indicates that the available
credit enhancement for the class A-2, B, C-1, C-2, and D notes
could withstand stresses commensurate with higher ratings than
those assigned. However, as the CLO will be in its reinvestment
phase starting from closing, during which the transaction's credit
risk profile could deteriorate, we have capped the assigned
ratings.
"The transaction's documented counterparty replacement and remedy
mechanisms adequately mitigate its exposure to counterparty risk
under our current counterparty criteria.
"Following the application of our structured finance sovereign risk
criteria, the transaction's exposure to country risk is limited at
the assigned ratings, as the exposure to individual sovereigns does
not exceed the diversification thresholds outlined in our
criteria.
"The transaction's legal structure is bankruptcy remote, in line
with our legal criteria.
"Following our analysis of the credit, cash flow, counterparty,
operational, and legal risks, we believe that our assigned ratings
are commensurate with the available credit enhancement for the
class A-1 loan and class A-1, A-2, B, C-1, C-2, and D notes.
"In addition to our standard analysis, we have also included the
sensitivity of the ratings on the class A-1 loan and class A-1 to D
notes to four hypothetical scenarios."
Environmental, social, and governance
S&P said, "We regard the exposure to environmental, social, and
governance (ESG) credit factors in the transaction as being broadly
in line with our benchmark for the sector. Primarily due to the
diversity of the assets within CLOs, the exposure to environmental
credit factors is viewed as below average, social credit factors
are below average, and governance credit factors are average. For
this transaction, the documents prohibit or limit assets from being
related to certain industries. Since the exclusion of assets from
these industries does not result in material differences between
the transaction and our ESG benchmark for the sector, no specific
adjustments have been made in our rating analysis to account for
any ESG-related risks or opportunities."
Ratings
Amount Credit
Class Rating* (mil. EUR) enhancement (%) Interest rate§
A-1 AAA (sf) 167.50 38.00 Three/six-month EURIBOR
plus 1.17%
A-1 Loan AAA (sf) 142.50 38.00 Three/six-month EURIBOR
plus 1.17%
A-2 AA (sf) 50.00 28.00 Three/six-month EURIBOR
plus 1.65%
B A (sf) 35.00 21.00 Three/six-month EURIBOR
plus 2.15%
C-1 BBB (sf) 30.00 15.00 Three/six-month EURIBOR
plus 2.80%
C-2 BBB- (sf) 5.00 14.00 Three/six-month EURIBOR
plus 3.85%
D BB- (sf) 23.75 9.25 Three/six-month EURIBOR
plus 5.20%
Performance NR 1.00 N/A N/A
Preferred Return NR 0.25 N/A N/A
Subordinated NR 57.75 N/A N/A
*The ratings assigned to the class A-1 and A-2 notes and class A-1
loan address timely interest and ultimate principal payments. The
ratings assigned to the class B, C-1, C-2, and D notes address
ultimate interest and principal payments. The payment frequency
switches to semiannual and the index switches to six-month EURIBOR
when a frequency switch event occurs.
EURIBOR--Euro Interbank Offered Rate.
NR--Not rated.
N/A--Not applicable.
===============
P O R T U G A L
===============
LUSITANO MORTGAGES NO. 6: S&P Raises Class E Notes Rating to 'CCC'
------------------------------------------------------------------
S&P Global Ratings raised its credit ratings on Lusitano Mortgages
No. 6 DAC's class A notes to 'AA- (sf)' from 'A (sf)', class D
notes to 'BBB- (sf)' from 'BB (sf)', and class E notes to 'CCC
(sf)' from 'D (sf)'. At the same time, S&P affirmed its 'A (sf)'
ratings on the class B and C notes.
S&P said, "The rating actions reflect our full analysis of the most
recent information we have received and the transaction's current
structural features.
"The overall effect of applying our global RMBS criteria is a
marginal decrease in our expected losses due to a marginal decrease
in our weighted-average foreclosure frequency (WAFF) and
weighted-average loss severity (WALS) assumptions. As the pool is
well-seasoned and its relative composition remains largely
unchanged, the diminishing indexed current loan-to-value ratio is
the primary driver of the reduction in our WAFF and WALS."
At the same time, the overall credit enhancement continues to
increase as the notes pay sequentially due to a breach of the pro
rata triggers. The reserve fund continues to replenish and
currently stands at EUR7.75 million, or 35.2% of the target level,
compared to 22.4% two years ago.
Table 1
Credit analysis results
Rating WAFF (%) WALS (%) Credit coverage (%)
AAA 15.31 2.00 0.31
AA 10.47 2.00 0.21
A 8.07 2.00 0.16
BBB 5.54 2.00 0.11
BB 3.00 2.00 0.06
B 2.39 2.00 0.06
WAFF--Weighted-average foreclosure frequency.
WALS--Weighted-average loss severity.
Loan level arrears, excluding defaulted assets, remain low at
1.11%, while cumulative defaults at 10.46% have increased only
marginally in recent years.
S&P's operational, legal, and sovereign risk analyses remain
unchanged since its previous full review.
S&P said, "Our counterparty criteria cap our ratings in this
transaction at the issuer credit rating (ICR) on NatWest Markets
PLC as liquidity facility provider. Our ratings on the notes are
also constrained by the resolution credit rating (RCR) on Credit
Agricole Corporate and Investment Bank ('AA-') as swap
counterparty, as we consider the replacement language in the swap
agreement not in line with our counterparty criteria.
"We delinked our 'AA- (sf)' rating on the class A notes from our
long-term ICR on NatWest Markets PLC by assuming the liquidity
facility is unavailable to the benefit of these notes, while still
assuming the draw-fee provisions remains in place. The notes remain
capped at the RCR on the swap provider at 'AA-'. We therefore
raised to 'AA- (sf)' from 'A (sf)' our rating on the class A
notes.
"The class B and C notes could withstand stresses at a higher
rating than the ratings assigned. Unlike the class A, the class B,
and the class C notes, these notes are unable to pass our rating
stresses without the benefit of the liquidity facility. As such,
they remain capped at 'A' by our counterparty criteria. We
therefore affirmed our 'A (sf)' ratings on these classes of notes.
"Our analysis indicates that the available credit enhancement for
the class D notes is commensurate with a higher rating than that
currently assigned. Therefore, we raised to 'BBB- (sf)' from 'BB
(sf)' our rating on the class D notes.
"Under our cash flow analysis, the class D notes could withstand
stresses at a higher rating level than that assigned. The primary
driver behind the upgrade is the increase in credit enhancement for
the notes, which has risen to 19.29% from 12.26% since our previous
rating action. However, we limited our upgrade due to the tranche's
overall credit enhancement relative to the senior notes and its
position in the waterfall."
The gross default cumulative ratio at 10.46% exceeds the 8%
threshold level for the class E notes. Consequently, the interest
due on these notes is and will continue to be subordinate to the
principal deficiency ledger (PDL). Since the June 2020 interest
payment date, the class E notes have received timely interest
payments, with all previously unpaid interest payments now
honored.
Defaults have plateaued in recent years, and consequently, PDL
recordings have marginally improved. This, coupled with stable
collections and recoveries on defaulted assets, has supported the
build-up of the reserve fund to its current level. Additionally,
this tranche is fully collateralized and benefits from the reserve
fund. However, the class E notes are still failing our cash flow
'B' stresses.
While S&P considers this class still vulnerable to nonpayment and
dependent upon favorable business, financial, or economic
conditions to meet their financial commitments, S&P acknowledges
that its position has improved. Therefore, it raised to 'CCC (sf)'
from 'D (sf)' its rating on class E notes.
Lusitano Mortgages No. 6 is a Portuguese RMBS transaction that
closed in July 2007 and securitizes first-ranking mortgage loans.
=========
S P A I N
=========
VALENCIA HIPOTECARIO 3: Moody's Ups Rating on Class D Notes to Caa2
-------------------------------------------------------------------
Moody's Ratings has upgraded the rating of Class D notes in
VALENCIA HIPOTECARIO 3, FTA. The rating action reflects Moody's
views on the loss-given-default as a percentage of original balance
for these notes given repayments up to March 24, 2025 as well as
the uncertainty on the valuation of the repossessed properties used
on March 27, 2025 to repay in kind the outstanding amount of Class
D notes.
EUR10.4M Class D Notes, Upgraded to Caa2 (sf); previously on Sep
16, 2014 Affirmed C (sf)
RATINGS RATIONALE
The rating action is prompted by Moody's views on the
loss-given-default as a percentage of original balance for these
notes given repayments up to March 24, 2025 as well as the
uncertainty on the valuation of the repossessed properties used on
March 27, 2025 to repay in kind the outstanding amount of Class D
notes.
VALENCIA HIPOTECARIO 3, FTA has been early liquidated after
fulfiling the criteria of having an outstanding portfolio balance
lower than 10% of the original portfolio balance. On the payment
date ("IPD") falling on March 24, 2025, Classes A2, B and C notes
were fully repaid and Class D notes were partially repaid with the
cash collected from the sale of the portfolio to CaixaBank, S.A.
which became the only creditor of the issuer after this initial
phase of the issuer liquidation. Outstanding balance of class D
notes was EUR2.30 million after this IPD, indicating a repayment of
77.87% of original balance. Then on March 27, 2025 the outstanding
balance of class D notes was repaid in kind with the 27 repossessed
assets which now belong to CaixaBank, S.A. rating action reflects
the payment made on this note since issuance and Moody's views of
the valuation of these properties and the resulting loss for Class
D notes.
Following the rating action Moody's will subsequently withdraw the
rating of Class D notes given the transaction has been terminated.
The principal methodology used in this rating was "Residential
Mortgage-Backed Securitizations" published in October 2024.
The analysis undertaken by Moody's at the initial assignment of
ratings for RMBS securities may focus on aspects that become less
relevant or typically remain unchanged during the surveillance
stage.
Factors that would lead to an upgrade or downgrade of the rating:
Moody's will withdraw the rating of the Class D notes.
===========================
U N I T E D K I N G D O M
===========================
BELLIS FINCO: Moody's Affirms 'B1' CFR, Alters Outlook to Negative
------------------------------------------------------------------
Moody's Ratings has affirmed the B1 long-term corporate family
rating and the B1-PD probability of default rating of Bellis Finco
PLC (ASDA), a major UK supermarket and petrol station chain. At the
same time, Moody's have affirmed the B1 ratings of the existing
backed senior secured debt instruments and senior secured bank
credit facilities issued by Bellis Acquisition Company PLC, and the
B3 rating of the backed senior unsecured notes issued by Bellis
Finco PLC. However, Moody's have changed the outlook on both
entities to negative from stable.
"The change in outlook to negative reflects ASDA's weak trading
performance, driven by various operational challenges identified by
the company," says Gunjan Dixit, Vice President – Senior Credit
Officer and lead analyst for ASDA. "The recently announced
turnaround strategy, which involves significant investment, will
pressure its EBITDA in 2025 and faces risks in a competitive market
with rising operating costs. Moody's expects ASDA's credit metrics
to worsen in 2025 with Moody's adjusted leverage reaching 6.8x,
before improving to 5.7x in 2026, assuming it recovers some lost
market share. Nonetheless, Moody's take comfort in ASDA's cash
generation ability and liquidity over the next 12-18 months," adds
Ms. Dixit.
RATINGS RATIONALE
ASDA underperformed Moody's forecasts in 2024, reporting a
company-adjusted underlying after-rent EBITDA (excluding Project
Future costs) of GBP1,141 million, falling short of Moody's April
2024 forecast of GBP1,320 million. Consequently, Moody's-adjusted
gross leverage stood at an estimated 5.9x in 2024 (down from 6.5x
in 2023), higher than Moody's expected 5.1x at the time of the
rating upgrade to B1. Moody's expects further earnings
deterioration in 2025, as guided by the management, driving Moody's
adjusted leverage to 6.8x, before recovering to 5.7x in 2026.
ASDA's position has thus weakened within its rating category.
In 2024, ASDA's like-for-like non-fuel sales declined by 3.4%,
ending the year with a 12.5% grocery market share, a 1.1 percentage
point drop from the previous year, according to Kantar Worldpanel.
Customer satisfaction was affected by less competitive pricing,
reduced availability, and perceived declines in service quality.
Performance was also impacted by ASDA's management attention being
diverted to integrating acquisitions and executing "Project
Future," the separation from Walmart IT systems.
Project Future aims to create ASDA's own separate IT systems. Due
to delays, Moody's now expects completion in 2025, with an
additional costs, albeit materially lower than in 2024. Although
the complexity and cost of this transition has added to ASDA's
operational challenges, Moody's expects the project to improve
efficiencies and customer experience once completed.
Allan Leighton, appointed Executive Chairman in November 2024, has
initiated a turnaround plan focusing on operational restructuring,
everyday low prices, and improving customer trust. The company has
reintroduced its "Rollback" prices on over 10,000 items to build
towards a 5%-10% price gap with the cheapest of the other Big 4
incumbents. ASDA is also addressing availability issues by
investing in in-store replenishment hours, collaborating with
suppliers, and improving warehouse picking accuracy. The goal is to
leverage its large stores' variety to drive foot traffic. While
these plans are sensible, execution risks are substantial, in
Moody's views. The investment in value will reduce profits,
especially as the company faces rising operating costs, including
higher wages and National Insurance contributions. The competitors'
reaction to ASDA's price drop remains uncertain, with the potential
for an industry-wide price war that could further pressure margins
and profits.
In Moody's base case scenario, Moody's forecasts ASDA's non-fuel
revenue to decline by nearly 1% in 2025, and an underlying
after-rent EBITDA of around GBP890 million for the group, including
the ASDA Express business. In 2026, Moody's expects ASDA's non-fuel
revenue to grow by 3.5%, driven by volumes, and underlying
after-rent EBITDA improving to around GBP1,080 million.
Moody's-adjusted free cash flow (FCF) after interest costs and tax
was negative by an estimated GBP29 million in 2024 due to
significant spend on Project Future and working capital outflows
(excluding GBP211 million of working capital cash inflow from
supplier deals signed in Q4 2024 that will become effective only in
2025). Moody's expects ASDA to generate over GBP200 million of FCF
in 2025, supported by working capital efficiencies. Moody's base
case is exposed to downside risks due to execution challenges and
the highly competitive UK grocery market.
ESG CONSIDERATIONS
Governance is a key driver for action. ASDA has strengthened its
governance and made several management and board changes, but it is
critical for the company to establish a track record of successful
execution over the next 12-18 months, following the weakening in
its operating performance.
LIQUIDITY
ASDA's liquidity profile is adequate. Moody's estimates that at the
end of 2024, the company had over GBP800 million of cash on balance
sheet and a fully available GBP793 million senior secured revolving
credit facility (RCF) issued by Bellis Acquisition Company PLC
maturing in October 2028. Moody's expects the company to generate
free cash flow (after interest and tax payments) of about GBP220
million in 2025 and GBP205 million in 2026. The company has no
substantial debt maturity in 2025 and outstanding GBP299 million of
senior secured notes coming due in February 2026 that Moody's
expects the company to repay with cash on balance sheet. Liquidity
is further supported by a portfolio of freehold and long leasehold
properties, along with land, independently valued by CBRE at GBP8.5
billion as at December 2023, including sites subject to ground rent
obligations which are worth about GBP750 million.
RATIONALE FOR THE NEGATIVE OUTLOOK
The negative outlook reflects Moody's expectations that ASDA's key
credit metrics will remain weakened for the rating category, and
highlights the substantial execution risks associated with the
company's strategy.
The outlook could return to stable if ASDA successfully turns
around the business, supported by the significant investments and
operational improvements it that it expects to continue through
2025.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be downgraded if (1) ASDA's operating performance
and grocery market share fail to improve in line with the company's
business plan, (2) Moody's adjusted leverage for ASDA does not
remain on path to reduce to below 6.0x beyond 2025, or (3) its
interest coverage ratio falls below 1.75x, the company generates
negative free cash flows on a Moody's adjusted basis, or if its
liquidity deteriorates.
The negative outlook indicates that the ratings are unlikely to be
upgraded over the next 12-18 months. However, positive rating
pressure could develop if ASDA's operating performance and market
share improve significantly over time, if its Moody's adjusted
leverage consistently reduces below 4.5x, if its coverage of
interest expenses (measured as (EBITDA - CAPEX)/interest) exceeds
2.5x, and if free cash flow to debt surpasses 10%, with at least
adequate liquidity.
PRINCIPAL METHODOLOGY
The principal methodology used in these ratings was Retail and
Apparel published in November 2023.
COMPANY PROFILE
Headquartered in Leeds, ASDA is the UK's third largest grocery
retailer and second largest independent fuel retailer. In 2024, it
reported GBP26.8 billion in revenue, including GBP5.1 billion from
fuel, and an after-rent EBITDA of GBP1,141 million. It operates 580
supermarkets, 469 convenience stores, and 322 fuel forecourts. ASDA
is primarily owned by TDR Capital LLP, with Walmart and Mohsin Issa
holding minority stakes. In November 2024, TDR Capital increased
its stake to 67.5%, while Mohsin Issa retains 22.5%, and Walmart
holds 10%.
BIG HELP: Grant Thornton Named as Joint Administrators
------------------------------------------------------
Big Help Homes C.I.C. was placed into administration proceedings in
the High Court Of Justice, Insolvency & Companies List, No 006499
of 2024, and Philip Stephenson and Oliver Haunch of Grant Thornton
UK LLP, were appointed as joint administrators on March 20, 2025.
Big Help Homes operates in the real estate industry, and rent of
housing association.
Its registered office is at 11th Floor, Landmark St Peter's Square,
1 Oxford St, Manchester, M1 4PB.
Its principal trading address is at 43-45 Landmark House, Merton
Road, Bootle, L20 7AP.
The joint administrators can be reached at:
Philip Stephenson
Grant Thornton UK LLP
11th Floor
Landmark St Peter's Square
1 Oxford St, Manchester
M1 4PB
Tel No: 0161 953 6900
-- and --
Oliver Haunch
Grant Thornton UK LLP
30 Finsbury Square
London, EC2A 1AG
Tel No: 020 7184 4300
For further information, contact:
CMU Support
Grant Thornton UK LLP
Tel No: 0161 953 6906
Email: cmusupport@uk.gt.com
11th Floor, Landmark St Peter's Square
1 Oxford St, Manchester
M1 4PB
EAGLE PLATFORMS: Leonard Curtis Named as Joint Administrators
-------------------------------------------------------------
Eagle Platforms Limited was placed into administration proceedings
in the High Court of Justice Business and Property Courts in
Birmingham, Insolvency & Companies List (ChD) Court Number:
CR-2025-BHM-00132, and Elizabeth Anne Welch and Sandra McAlister of
of Leonard Curtis, were appointed as joint administrators on March
24, 2025.
Eagle Platforms specialized in construction activities.
Its registered office is at Unit A Ryton Road, Anston, Sheffield,
South Yorkshire, S25 4DL.
The joint administrators can be reached at:
Elizabeth Anne Welch
Sandra McAlister
Leonard Curtis
Cavendish House
39-41 Waterloo Street
Birmingham B2 5PP
Further details contact:
The Joint Administrators
Tel: 0121 200 2111
Email: recovery@leonardcurtis.co.uk
Alternative contact: Lucy Abbott
FOXANO LIMITED: Keenan Corporate Named as Joint Administrators
--------------------------------------------------------------
Foxano Limited was placed into administration proceedings in the
High Court of Justice in Northern Ireland Chancery Division
(Company Insolvency) No 29342 of 2025, and Scott Murray and Ian
Davison of Keenan Corporate Finance Ltd, were appointed as joint
administrators on March 20, 2025.
Foxano Limited specialized in the treatment and coating of metals.
Its registered office is at Oakmont House, 2 Queens Road, Lisburn,
BT27 4TZ.
The joint administrators can be reached at:
Scott Murray
Ian Davison
Keenan Corporate Finance Ltd
10th Floor Victoria House
15-17 Gloucester Street
Belfast, BT1 4LS
Contact Information
Tel No: 028 9023 3023
Email: mmclean@keenancf.com
HANWHA PHASOR: MHA Named as Administrators
------------------------------------------
Hanwha Phasor Ltd. was placed into administration proceedings in
the High Court of Justice Business and Property Courts of England
and Wales, Company and Insolvency List Court Number:
CR-2025-002070, and Steven Illes and James Alexander Snowdon of
MHA, were appointed as administrators on March 25, 2025.
Hanwha Phasor is a manufacturer of communication equipment other
than telegraph, and telephone apparatus and equipment.
Its registered office is at 27 Old Gloucester Street, London,
United Kingdom, WC1N 3AX.
Its principal trading address is at 4th Floor, The Record, 16
Baldwin's Gardens, London, EC1N 7RJ; 322 Cambridge Science Park
Milton Rd, Milton, Cambridge, CB4 0WG.
The administrators can be reached at:
Steven Illes
James Alexander Snowdon
MHA
6th Floor, 2 London Wall Place
London, EC2Y 5AU
For further details contact:
Alex Timotheou
Tel: 020 7429 4100
E-mail: alex.timotheou@mha.co.uk
JETLINE TRAVEL: Administrators Tapped for Travel Agent
------------------------------------------------------
Jetline Travel Limited was placed into administration proceedings
in the High Court of Justice ChD Court Number: CR-2025-001451, and
Alan J Clark of Carter Clark, and Neil Bennett of Leonard Curtis,
were appointed as joint administrators on March 28, 2025.
Jetline Travel -- trading as Bargain Late Holidays, Best Priced
Holidays, Clearsky Holidays, Cruise & More, Deal of the Day
Holidays, Deluxe Breaks, Elegant Gateways, Great Late Holidays,
Green Dot Holidays, Hotdeal Holidays, Jetline Cruise, Jetline
Holidays, Our Best Holidays -- was a travel agent.
Its registered office is at 8th Floor Becket House, 36 Old Jewry,
London, EC2R 8DD.
Its principal trading address is at 7B High Street, Barnet, EN5
5UE.
The joint administrators can be reached at:
Alan J Clark
Carter Clark
Recovery House
15-17 Roebuck Road
Hainault Business Park
Ilford, Essex, IG6 3TU
-- and --
Neil Bennett
Leonard Curtis
5th Floor, Grove House
248a Marylebone Road
London, NW1 6BB
For further details contact:
Joint Administrator
Tel No: 020 8559 5093
KINGFISHER RESORTS: Milsted Langdon Named as Joint Administrators
-----------------------------------------------------------------
Kingfisher Resorts St Ives Limited was placed into administration
proceedings in the High Court of Justice Business and Property
Courts of England and Wales Insolvency and Companies List (ChD)
Court Number: CR-2025-002072, and Richard Warwick and Rachel Hotham
of Milsted Langdon LLP, were appointed as joint administrators on
March 25, 2025.
Kingfisher Resorts was a holding company of a trading group.
Its registered office is currently at 4th Floor, 95 Chancery Lane,
London, WC2A 1DT, soon to be changed to Winchester House, Deane
Gate Avenue, Taunton, Somerset, TA1 2UH.
The joint administrators can be reached at:
Richard Warwick
Rachel Hotham
Milsted Langdon LLP
Winchester House, Deane Gate Avenue
Taunton, TA1 2UH
For further details, contact:
Jason Bevan
Tel No: 01823 445566
Email: JBevan@milstedlangdon.co.uk
NEWDAY FUNDING 2025-1: Fitch Assigns 'BB-' Final Rating to F Notes
------------------------------------------------------------------
Fitch Ratings has assigned NewDay Funding Master Issuer Plc's
series 2025-1's notes final ratings.
Fitch has also affirmed NewDay Funding's series 2022-1, 2022-2,
2022-3, 2023-1, 2024-1, 2024-2, 2024-3 and VFN-F1 V1 notes.
Entity/Debt Rating Prior
----------- ------ -----
NewDay Funding Master
Issuer Plc
2022-1 Class A1 XS2452635118 LT AAAsf Affirmed AAAsf
2022-1 Class A2 65120LAK7 LT AAAsf Affirmed AAAsf
2022-1 Class B XS2452635464 LT AA+sf Affirmed AA+sf
2022-1 Class C XS2452635548 LT A+sf Affirmed A+sf
2022-1 Class D XS2452635977 LT BBB+sf Affirmed BBB+sf
2022-1 Class E XS2452636272 LT BB+sf Affirmed BB+sf
2022-1 Class F XS2452636512 LT BB-sf Affirmed BB-sf
2022-2 Class A Loan Note LT AA+sf Affirmed AA+sf
2022-2 Class C XS2498643589 LT A+sf Affirmed A+sf
2022-2 Class D XS2498643829 LT BBB+sf Affirmed BBB+sf
2022-2 Class E XS2498644124 LT BB+sf Affirmed BB+sf
2022-2 Class F XS2498644470 LT B+sf Affirmed B+sf
2022-3 Class A XS2554910591 LT AA-sf Affirmed AA-sf
2022-3 Class D XS2554989678 LT BBB+sf Affirmed BBB+sf
2022-3 Class E XS2554989918 LT BB+sf Affirmed BB+sf
2022-3 Class F XS2554991062 LT B+sf Affirmed B+sf
2023-1 Class A1 XS2716700286 LT AAAsf Affirmed AAAsf
2023-1 Class A2 65120LAL5 LT AAAsf Affirmed AAAsf
2023-1 Class B XS2716700526 LT AA+sf Affirmed AA+sf
2023-1 Class C XS2716700799 LT A+sf Affirmed A+sf
2023-1 Class D XS2716700872 LT BBB+sf Affirmed BBB+sf
2023-1 Class E XS2716700955 LT BB+sf Affirmed BB+sf
2023-1 Class F XS2716701094 LT BB-sf Affirmed BB-sf
2024-1 Class A XS2768182367 LT AAAsf Affirmed AAAsf
2024-1 Class B XS2768182797 LT AA+sf Affirmed AA+sf
2024-1 Class C XS2768182953 LT A+sf Affirmed A+sf
2024-1 Class D XS2768183175 LT BBB+sf Affirmed BBB+sf
2024-1 Class E XS2768183415 LT BBsf Affirmed BBsf
2024-1 Class F XS2768183761 LT BB-sf Affirmed BB-sf
2024-2 Class A XS2834466976 LT AAAsf Affirmed AAAsf
2024-2 Class B XS2834467438 LT AA+sf Affirmed AA+sf
2024-2 Class C XS2834467941 LT A+sf Affirmed A+sf
2024-2 Class D XS2834468592 LT BBB+sf Affirmed BBB+sf
2024-2 Class E XS2834469137 LT BBsf Affirmed BBsf
2024-2 Class F XS2834469483 LT BB-sf Affirmed BB-sf
2024-3 Class A XS2909751740 LT AAAsf Affirmed AAAsf
2024-3 Class B XS2909752391 LT AA+sf Affirmed AA+sf
2024-3 Class C XS2909752557 LT AA-sf Affirmed AA-sf
2024-3 Class D XS2909752987 LT BBB+sf Affirmed BBB+sf
2024-3 Class E XS2909753100 LT BBsf Affirmed BBsf
2024-3 Class F XS2909753365 LT BB-sf Affirmed BB-sf
2025-1 Class A LT AAAsf New Rating AAA(EXP)sf
2025-1 Class B LT AAsf New Rating AA(EXP)sf
2025-1 Class C LT Asf New Rating A(EXP)sf
2025-1 Class D LT BBBsf New Rating BBB(EXP)sf
2025-1 Class E LT BBsf New Rating BB(EXP)sf
2025-1 Class F LT BB-sf New Rating BB-(EXP)sf
VFN-F1 V1 Class A LT BBB+sf Affirmed BBB+sf
VFN-F1 V1 Class E LT BB+sf Affirmed BB+sf
VFN-F1 V1 Class F LT BB-sf Affirmed BB-sf
Transaction Summary
The notes issued by NewDay Funding Master Issuer Plc are
collateralised by a pool of non-prime UK credit card receivables
originated by NewDay Limited (NewDay). NewDay is one of the largest
specialist credit card companies in the UK and offers cards both
under its own brands and in partnership with individual retailers.
Only the cards branded by NewDay, which are targeted at higher-risk
borrowers on average, are included in this transaction. Cards
co-branded with retailers are financed through a separate
securitisation.
KEY RATING DRIVERS
Unchanged Asset Assumptions: Fitch has maintained its asset
assumptions, with the steady-state charge-off rate at 17% and
monthly payment rate (MPR) at 11%. Fitch changed the levels earlier
this year to reflect NewDay's increasing strategic focus on
acquiring and retaining slightly lower risk borrowers, the strength
and stability of portfolio performance metrics during challenging
macroeconomic conditions, and continued refinements to NewDay's
automated credit scoring process.
Charge-off and MPR stresses are unchanged and remain at the low end
of the criteria range (3.5x and 45% at the 'AAAsf' rating case,
respectively). This considers the high absolute level of the
steady-state charge-off rate, low volatility in the historical
data, and low payment rates typical of the non-prime credit card
sector.
Sound Performance Relative to Steady States: The transaction's
recent performance remains below Fitch's steady-state charge-off
rate. Over the last year, charge-offs and the MPR have averaged
12.9% and 13.9%, respectively. Fitch expects performance metrics to
fluctuate around its steady states through the economic cycle.
Variable Funding Notes Add Flexibility: The structure includes a
separate originator variable funding note (VFN), purchased and held
by NewDay Funding Transferor Ltd (the transferor), in addition to
the series VFN-F1, VFN-F2 and VFN-F3 providing the funding
flexibility typical and necessary for credit card trusts. It
provides credit enhancement to the rated notes, adds protection
against dilutions by way of a separate functional transferor
interest, and meets UK and US risk-retention requirements.
Risks from Seller/Servicer Mitigated: The NewDay group acts in
several capacities through its various entities, most prominently
as originator, servicer and cash manager. The reliance on the group
is mitigated by the transferable operations, agreements with
established card service providers, a back-up cash management
agreement and a series-specific liquidity reserve. A back-up
servicer has been in place since October 2024. Upon a servicer
termination event, the back-up servicer will replace the existing
servicer within 30 days.
As of April 2025, the minimum transferor interest percentage will
be reduced to 1.2% from 1.65%, given the historically low dilutions
experienced by the pool. Fitch considers that the minimum
transferor interest remains adequately sized to cover dilution
risk.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
Rating sensitivity to increased charge-off rate
Increase steady state by 25% / 50% / 75%:
Series 2025-1 A: 'AA+sf'/ 'AA-sf' / 'A+sf'
Series 2025-1 B: 'A+sf'/ 'Asf' / 'A-sf'
Series 2025-1 C: 'BBB+sf'/ 'BBBsf' / 'BBB-sf'
Series 2025-1 D: 'BB+sf'/ 'BBsf' / 'B+sf'
Series 2025-1 E: 'B+sf'/ 'Bsf' / N.A.
Series 2025-1 F: 'B+sf'/ N.A. / N.A.
Rating sensitivity to reduced MPR
Reduce steady state by 15% / 25% / 35%:
Series 2025-1 A: 'AA+sf'/ 'AA-sf' / 'A+sf'
Series 2025-1 B: 'A+sf'/ 'Asf' / 'A-sf'
Series 2025-1 C: 'A-sf'/ 'BBB+sf' / 'BBBsf'
Series 2025-1 D: 'BBB-sf'/ 'BB+sf' / 'BBsf'
Series 2025-1 E: 'BB-sf'/ 'BB-sf' / 'B+sf'
Series 2025-1 F: 'BB-sf'/ 'B+sf' / 'B+sf'
Rating sensitivity to reduced purchase rate
Reduce steady state by 50% / 75% / 100%:
Series 2025-1 D: 'BBB-sf'/ 'BBB-sf' / 'BBB-sf'
Series 2025-1 E: 'BB-sf'/ 'BB-sf' / 'BB-sf'
Series 2025-1 F: 'BB-sf'/ 'BB-sf' / 'B+sf'
No rating sensitivities are shown for the class A to C notes, as
Fitch already assumes a 100% purchase rate stress at their
ratings.
Rating sensitivity to increased charge-off rate and reduced MPR
Increase steady-state charge-offs by 25% / 50% / 75% and reduce
steady-state MPR by 15% / 25% / 35%:
Series 2025-1 A: 'AA-sf'/ 'A-sf' / 'BBBsf'
Series 2025-1 B: 'Asf'/ 'BBBsf' / 'BB+sf'
Series 2025-1 C: 'BBBsf'/ 'BB+sf' / 'BB-sf'
Series 2025-1 D: 'BBsf'/ 'B+sf' / N.A.
Series 2025-1 E: 'B+sf'/ N.A. / N.A.
Series 2025-1 F: 'Bsf'/ N.A. / N.A.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
Rating sensitivity to reduced charge-off rate and increased MPR
Reduce steady-state charge-offs by 25% and increase steady-state
MPR by 15%:
Series 2025-1 A: 'AAAsf'
Series 2025-1 B: 'AAAsf'
Series 2025-1 C: 'AAsf'
Series 2025-1 D: 'A-sf'
Series 2025-1 E: 'BBBsf'
Series 2025-1 F: 'BBB-sf'
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.
DATA ADEQUACY
NewDay Funding Master Issuer Plc
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action
Prior to the transaction closing, Fitch reviewed the results of a
third party assessment conducted on the asset portfolio information
and concluded that there were no findings that affected the rating
analysis.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
ESG Considerations
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' means ESG
issues are credit-neutral or have only a minimal credit impact on
the entity, either due to their nature or the way in which they are
being managed by the entity. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
ONCIMMUNE HOLDINGS: Arafino Advisory Named as Joint Administrators
------------------------------------------------------------------
Oncimmune Holdings Plc, fka Oncimmune Holdings Limited, was placed
into administration proceedings in the High Court of Justice
Business and Property Courts of England and Wales Insolvency and
Companies, No 1804 of 2025, and Simon Bonney and James Varney of
Arafino Advisory Limited, were appointed as joint administrators on
March 26, 2025.
Its registered office is at C/o Arafino Advisory Limited, Central
Court, 25 Southampton Buildings, London, WC2A 1AL.
Its Principal trading address is at 1 Park Row, Leeds, LS1 5AB.
The joint administrators can be reached at:
Simon Bonney
James Varney
Arafino Advisory Limited
Central Court
25 Southampton Buildings
London, WC2A 1AL
For further information contact
Tom Maker
Arafino Advisory Limited
Email: tom.maker@arafino.com
YACHTING PARTNERS: Quantuma Advisory Named as Administrators
------------------------------------------------------------
Yachting Partners International Limited was placed into
administration proceedings in the High Court of Justice Business
and Property Courts of England and Wales, Insolvency & Companies
List (ChD) Court Number: CR-2025-001692, and Andrew Andronikou and
Michael Kiely of Quantuma Advisory Limited, were appointed as
administrators on March 25, 2025.
Yachting Partners, fka NJP Limited (5 December 2005 – 20 Janruary
2006); Yachting Partners International (2005) Limited (14 November
2005 – 5 December 2005), specialized in business support service
activities.
Its registered office is at 3rd Floor, 1 Ashley Road, Altrincham,
WA14 2DT and it is in the process of being changed to c/o Quantuma
Advisory Limited, 7th Floor, 20 St Andrew Street, London EC4A 3AG.
Its principal trading address is at 1 Franklins Row, London, SW3
4SW.
The administrators can be reached at:
Andrew Andronikou
Michael Kiely
Quantuma Advisory Limited
7th Floor, 20 St. Andrew Street
London, EC4A 3AG
For further details, please contact:
Archie Edmonds
Tel No: 0203 744 7234
Email: Archie.Edmonds@quantuma.com
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Europe is a daily newsletter co-
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Marites O. Claro, Rousel Elaine T. Fernandez, Joy A. Agravante,
Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman,
Editors.
Copyright 2025. All rights reserved. ISSN 1529-2754.
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