The current ratings on the class A and class B notes are available here and here, respectively.

Ibla S.r.l. is a static cash securitisation of a EUR 349m portfolio (as of closing) of non-performing loans (NPLs) extended to companies and individuals in Italy. The loans were originated by Banca Agricola Popolare di Ragusa S.C.p.A. The transaction closed on 6 September 2018.

The cumulative collection ratio stands at 90% of the business plan through the first interest payment date (30 April 2019). The profitability ratio is 152% through the same period. Scope’s review was based on available payment information, investor reports and servicer reports as of July 2019.

Aggregate gross collections since the cut-off date are EUR 12.5m – 90.4% of which is from open debtors (i.e., debtors for which the recovery process is still ongoing). This figure represents about 8.3% of Scope’s expected lifetime collections considered for the analysis of the class A notes. The amount and timing of collections are within Scope’s expectations assumed at closing.

The composition of gross proceeds are ad-interim collections (47.0%), foreclosure proceedings (27.8%), and out-of-court settlements (16.8%) and bankruptcy proceedings (8.4%). Collections sources for closed positions were out-of-court settlements (86.4%), foreclosure proceedings (10.3%) and other sources (3.3%).

No interest subordination event has occurred, since both the cumulative collections ratio and the cumulative profitability ratio (90% and 152%, respectively) are above the 85% trigger level.

The transaction is exposed to i) Banca Agricola Popolare di Ragusa S.C.p.A. as originator and limited recourse loan provider; ii) Italfondiario S.p.A. as the servicer; iii) BNP Paribas Securities Services (Milan Branch) as the issuer’s account bank, agent bank, cash manager, and paying agent; iv) Securitisation Services S.p.A. as the back-up servicer, corporate services provider, calculation agent, and noteholders’ representative; v) Zenith Services S.p.A., as monitoring agent; and vi) Banca IMI S.p.A. as the cap counterparty. All counterparties continue to be supportive for the rating.

Scope will continue to monitor Ibla S.r.l. on an ongoing basis.

Ratings and research are freely available at www.scoperatings.com.