Rating action

Scope Ratings GmbH (Scope) has taken the following rating action on the instrument issued by Solis Real Assets Luxemburg - Compartment I:

Lessee Payment Contingent Fixed Rate Notes, EUR 12.6m outstanding: upgraded to BBB+_SF from BBB_SF

Key transaction features

The transaction is a cash securitisation of bicycle leases with residual value exposure, originated by Lesora GmbH (previously Hofmann Leasing GmbH) issued in November 2023. A detailed description of the transaction features and analytical assumptions, at closing, can be found in the transaction´s rating report, available at Scope´s website.

The issuer is exposed to Lesora GmbH as originator and servicer, BLS Bikeleasing-Service GmbH & Co. KG as operational servicer, Kreis-Sparkasse Northeim as the servicer account bank, Baden-Württembergische Bank as the issuer account bank and Greenium Service GmbH as the calculation agent.

Relevant changes to the key transaction features

As of reporting date (August 2025), credit enhancement on the notes has increased to 9.9% from 9.5% at closing. The underlying portfolio has an expected remaining weighted average life of approximately 0.8 years (assuming no defaults or prepayments), and the pool factor stands at 40.8%.

Rating rationale

The rating action follows: i) the periodic re-assessment of the transaction´s key rating drivers, ii) a review of its key assumptions, considering the observed performance of the collateral and Scope’s economic outlook, and iii) any material changes to the key transaction features such as portfolio composition, structural features or counterparties.

The upgrade of the notes is primarily driven by the strong performance of the transaction, which has led to accelerated deleveraging. As a result, credit enhancement levels have increased, strengthening the notes’ ability to withstand potential credit stress.

The notes’ current rating reflects the updated quantitative analysis base case results.

Key rating drivers:

The key rating drivers remain aligned with those disclosed on the rating action release dated 8 November 2024.

Key quantitative assumptions

• The portfolio´s lifetime default rate, which follows an inverse gaussian distribution.
   
• Rating-level conditional recovery rates.

Updates to these assumptions and other parameters are provided under the section ‘Quantitative analysis.’

Key performance metrics¹

As of August 2025, the servicer reported a cumulative default rate of 0.18% of the total originated portfolio balance. Based on the transaction’s 60-days-past-due default definition, the cumulative default rate to date stands at 2.3%.

Other key performance indicators include: a dynamic 30-day-past-due delinquency rate of 0.55%, a cumulative recovery rate of 19.2% on reported defaulted exposures, and an annualised early repayment rate of 6.2%.

Key data sources

Scope’s review was based on available reporting reflecting performance up to August 2025 payment date. The analysis also factored in Scope´s Consumer and Auto ABS outlook.

Rating-change drivers

A change to the key quantitative assumptions based on observed performance or new data sources, significant changes to the key transaction´s features, and a change in Scope’s credit views regarding the key rating drivers could impact the ratings.

Sensitivity analysis

This analysis is solely intended to illustrate the sensitivity of the credit rating to the assumed parameters and, all else being equal, does not reflect expected or likely scenarios.

Lessee Payment Contingent Fixed Rate Notes:

• 50% increase of mean lifetime default rate: minus two notches.
   
• 50% decrease of recovery rates: minus one notch.

Quantitative analysis

This section outlines a list of key quantitative parameters that have changed since closing:

• Default rate distribution parameters: the mean default rate has been revised to 2.0% from 1.4%, while the corresponding coefficient of variation has been adjusted to 105.6% from 137.2%.

The rest of the assumptions remains unchanged.

Rating driver references
1. Transaction reporting (Confidential)

Stress testing
Stress testing was considered in the quantitative analysis by considering scenarios that stress factors, like defaults and Credit-Rating-adjusted recoveries, contributing to sensitivity of Credit Ratings and consider the likelihood of severe collateral losses or impaired cash flows. The impact on the rated instruments is weighted by the assumptions of the likelihood of the events in such scenarios occurring.

Cash flow analysis
Scope Ratings performed a cash flow analysis of the transaction with the use of Scope Ratings’ Cash Flow Model Master Waterfall Version 1.1 incorporating relevant asset assumptions and taking into account the transaction’s main structural features, such as the instruments’ priority of payments, the instruments’ size and coupons. The outcome of the analysis is an expected loss rate and an expected weighted average life for the instruments based on the generated cash flows.

Methodology
The methodologies used for this Credit Rating (Consumer and Auto ABS Methodology, 3 March 2025; General Structured Finance Rating Methodology, 13 February 2025; Counterparty Risk Methodology, 30 June 2025), are available on scoperatings.com/governance-and-policies/rating-governance/methodologies.
The model used for this Credit Rating is (Cash Flow Model Master Waterfall Version 1.1), available in Scope Ratings’ list of models, published under scoperatings.com/governance-and-policies/rating-governance/methodologies.
Information on the meaning of each Credit Rating category, including definitions of default, recoveries, Outlooks and Under Review, can be viewed in ‘Rating Definitions – Credit Ratings, Ancillary and Other Services’, published on scoperatings.com/governance-and-policies/rating-governance/definitions-and-scales. Historical default rates of the entities rated by Scope Ratings can be viewed in the Credit Rating performance report at scoperatings.com/governance-and-policies/regulatory/eu-regulation. Also refer to the central platform (CEREP) of the European Securities and Markets Authority (ESMA): registers.esma.europa.eu/cerep-publication/. A comprehensive clarification of Scope Ratings’ definitions of default and Credit Rating notations can be found at scoperatings.com/governance-and-policies/rating-governance/definitions-and-scales. Guidance and information on how environmental, social or governance factors (ESG factors) are incorporated into the Credit Rating can be found in the respective sections of the methodologies or guidance documents provided on scoperatings.com/governance-and-policies/rating-governance/methodologies.

Solicitation, key sources and quality of information
The Rated Entity and/or its Related Third Parties participated in the Credit Rating process.
The following substantially material sources of information were used to prepare the Credit Rating: public domain, the Rated Entity, the Rated Entities’ Related Third Parties, third parties and Scope Ratings’ internal sources.
Scope Ratings considers the quality of information available to Scope Ratings on the Rated Entity or instrument to be satisfactory. The information and data supporting the Credit Rating originate from sources Scope Ratings considers to be reliable and accurate. Scope Ratings does not, however, independently verify the reliability and accuracy of the information and data.
Scope Ratings has not received a third-party asset due diligence assessment/asset audit. Scope Ratings has performed its own analysis of the data quality, based on information received from the Rated Entity or Related Third Parties, which is not and should be not deemed equivalent to the performance of due diligence or an audit. The internal analysis was considered when preparing the Credit Rating and it has no impact on the Credit Rating.
Prior to the issuance of the Credit Rating action, the Rated Entity was given the opportunity to review the Credit Rating and the principal grounds on which the Credit Rating are based. Following that review, the Credit Rating was not amended before being issued.
 
Regulatory disclosures
The Credit Rating is issued by Scope Ratings GmbH, Lennéstraße 5, D-10785 Berlin, Tel +49 30 27891-0. The Credit Rating is UK-endorsed.
Lead analyst: Leonardo Scavo, Associate Director
Person responsible for approval of the Credit Rating: Paula Lichtensztein, Senior Representative
The final Credit Rating was first released by Scope Ratings on 21 November 2023. The Credit Rating was last updated on 8 November 2024.
 
Potential conflicts
See scoperatings.com under Governance & Policies/Regulatory for a list of potential conflicts of interest disclosures related to the issuance of Credit Ratings, as well as a list of Ancillary Services and certain non-Credit Rating Agency services provided to Rated Entities and/or Related Third Parties.

Conditions of use/exclusion of liability
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