US advises Textainer, subsidiary in nine-figure asset-backed financings

Our San Francisco and New York offices recently advised Textainer Group Holdings Limited (Textainer) and its subsidiary, Textainer Marine Containers VII Limited (TMCLVII), in their recent US$829 million fixed-rate, asset-backed financings.

The transaction included US$532 million Series 2020-2 Class A Notes, US$76 million Series 2020-2 Class B Notes, US$213 million Series 2020-3 Class A Notes and US$8 million Series 2020-3 Class B Notes.

Textainer issued the fixed-rate, asset-backed notes to qualified institutional buyers under Rule 144A under the Securities Act of 1933 (Act) and to non-U.S. persons in accordance with Regulation S promulgated under the Act. The company used the proceeds to pay down its secured debt facility, a revolving credit facility and to pay off its 2017-2 and 2018-1 notes.

Hamilton, Bermuda-based Textainer, one of the world's largest lessors of intermodal containers, has operated since 1979 and operates via a network of 14 offices and approximately 500 independent depots worldwide. It leases containers to approximately 250 customers, and its fleet consists of standard dry freight, refrigerated intermodal containers, and dry freight specials. 

Catherine Hagerty and Bill Veatch led the US team, which included Lior Nuchi (San Francisco), Marian Baldwin Fuerst, Bill Cavanagh, Roy Goldman, Charlie Hord, Christy Rivera, Kevin Prokup, Adrienne Sebring, Kyung Park, Leslie Teng (New York) and Melanie King (San Francisco).

In August, Norton Rose Fulbright advised Textainer in a US$450 million asset-backed financing secured by a portfolio of shipping containers and related leases. That transaction was the first shipping container securitization of 2020.