Marriott Vacations Worldwide Completes $445 Million Term Securitization
September 30 2024 - 11:10AM
Business Wire
Marriott Vacations Worldwide Corporation (NYSE: VAC) (“MVW” or
the “Company”) announced today the completion of a $445 million
securitization of vacation ownership loans, offered to qualified
institutional buyers in the United States pursuant to Rule 144A and
outside the United States in accordance with Regulation S under the
Securities Act of 1933, as amended. The notes were issued by MVW
2024-2 LLC (the “Issuer”). The notes have a blended interest rate
of 4.52% and a gross advance rate of 98%.
“We are very pleased with the strong investor demand for this
offering. That and the current interest rate environment resulted
in a blended interest rate nearly 200 basis points lower than our
November 2023 transaction,” said Jason Marino, executive vice
president and chief financial officer.
The transaction was backed by a pool of approximately $454
million of vacation ownership loans from a variety of the Company’s
timeshare brands. Three classes of notes were issued by the Issuer,
comprising approximately $307 million of Class A Notes,
approximately $86 million of Class B Notes, and approximately $52
million of Class C Notes. The Class A Notes have an interest rate
of 4.43%, the Class B Notes have an interest rate of 4.58%, and the
Class C Notes have an interest rate of 4.92%.
The Company intends to use the proceeds of the 2024-2
securitization, net of fees, to pay down outstanding credit
facility obligations and for other general corporate purposes.
Important Notice
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any securities nor shall there be
any sale of these securities in any jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of such jurisdiction.
The notes have not been registered under the Securities Act of
1933, as amended, or any state securities law. Unless so
registered, the notes may not be offered or sold in the United
States, except pursuant to an exemption from the registration
requirements of the Securities Act and applicable state securities
laws.
About Marriott Vacations Worldwide Corporation
Marriott Vacations Worldwide Corporation is a leading global
vacation company that offers vacation ownership, exchange, rental
and resort and property management, along with related businesses,
products, and services. The Company has approximately 120 vacation
ownership resorts and approximately 700,000 owner families in a
diverse portfolio that includes some of the most iconic vacation
ownership brands. The Company also operates an exchange network and
membership programs comprised of more than 3,200 affiliated resorts
in over 90 countries and territories, and provides management
services to other resorts and lodging properties. As a leader and
innovator in the vacation industry, the Company upholds the highest
standards of excellence in serving its customers, investors and
associates while maintaining exclusive, long-term relationships
with Marriott International, Inc. and an affiliate of Hyatt Hotels
Corporation for the development, sales and marketing of vacation
ownership products and services. For more information, please visit
www.marriottvacationsworldwide.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20240930484801/en/
Neal Goldner Investor Relations 407-206-6149
neal.goldner@mvwc.com Cameron Klaus Global Communications
407-513-6606 cameron.klaus@mvwc.com
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