The recent and ongoing upheaval in Libor rates is producing divergent outlooks on debt and equity positions in CLOs, says the Loan Syndications and Trading Association.

Standard & Poor’s on Thursday assigned an expected ‘AAA’ rating on the Class A (2016-5) series of C seven-year notes, the only tranche in the issuance. The notes will carry an interest rate of 1.27% and supported by 14% credit enhancement – a level in line with Chase’s recent receivables-backed issues in 2016.

American Honda Finance Corp. has filed for its third super prime loan securitization of the year, in a $1.25 billion transaction that could be upsized to $1.5 billion. The deal comes as the company has experienced growing levels of delinquencies and repossessions that have not shaken ratings agencies' faith in Honda's performance as a long-term asset-backed issuer.

The ratings agency raised its rankings of Ocwen as a residential mortgage prime, subprime, special and subordinate-lien servicer to average from below average, S&P said in a news release Tuesday. Similarly, Ocwen's rankings as a commercial mortgage special servicer and a small-balance commercial mortgage primary and special servicer were raised to average from below average.

Mill City Holdings, which was recently assigned ownership interests in a pair of CarVal Investors’ re-performing mortgage securitizations from 2015, is preparing a third deal involving formerly delinquent and defaulted mortgages. Mill City Mortgage Loan Trust 2016-1 is a transaction of a portfolio of 1,986 distressed or re-performing mortgages.

Nationstar HECM Loan Trust Asset-Backed Notes, Series 2016-3, is a $246.21 million asset-backed notes issuance supported by a $251 million collateral pool of properties tied to reverse mortgages or properties that have become bank-owned assets under the FHA’s HECM (Home Equity Conversion Mortgage) program.

Heathrow Funding, a corporate securitization vehicle that issues bonds raising proceeds for London’s Heathrow Airport and related rail link services, is issuing £400 million (US$520 million) in new notes for the airport to repay upcoming debt maturities.

Bank purchases of Lending Club loans was down 47% in the second quarter from the first, despite higher incentive payments offered by the marketplace lender. Lending Club said that while its loan-purchases program is stabilizing with asset managers and hedge funds, banks have yet to be lured back into the fold.

Online lender Earnest completed its third student-loan securitization in six months, in another oversubscribed offering that raised the finance company’s total issuance to $527 million for 2016. The offering's senior notes were rated 'AA' by DBRS, a bump from the previous single-A ratings of its two prior transactions this year.

Lending Club announced the resignation of its chief financial officer while reporting an $81.4 million quarterly loss due largely to fallout from the scandal that rocked the firm in May.

Morgan Stanley and Citigroup were among a trio of commercial mortgage securitizations with presale reports issued Monday. Morgan Stanley is securitizing a pool of commercial mortgages in a $719.8 million asset-backed structure. Citigroup’s Commercial Mortgage Trust 2016-C2 is a $609.17 million syndicate conduit transaction that includes consortium of large loan properties.