Slaughter and May advised NewDay Cards – Two New Series of Credit Card Master Trust Variable Funding Notes

Slaughter and May advised NewDay Cards Ltd (NewDay Cards) and its affiliates in relation to an expansion of the variable funding note (VFN) capacity under its two public master trust securitisation structures (the Master Trusts).

The expansion of the VFN capacity of the Master Trusts involved the creation of a new series of VFNs in each Master Trust. To provide NewDay with additional flexibility, each new VFN series provides for programmatic issuances of sub-series of rated or unrated VFNs.

The VFNs are all ultimately backed by income from a portfolio of credit card (and, in the case of the “co-brand” Master Trust, store card and instalment credit) receivables originated or acquired by NewDay Ltd. NewDay Cards has been appointed as servicer in respect of such portfolios. Legal title to the receivables within the portfolios remains with NewDay Ltd, which is an authorised payment institution and a wholly-owned subsidiary of NewDay Cards.

Each new VFN issued under each of the Master Trusts will be listed on The International Stock Exchange.

Clifford Chance LLP provided English law advice to the holders of the VFNs. Carey Olsen provided Jersey law advice to certain special purpose entities in the Master Trusts.

Financing
Richard Jones Partner
David Thomas Associate
Paul Duncan Associate

Alison Lim / Trainee Solicitor, William Parr / Trainee Solicitor 

Tax
Gareth Miles Partner
Alex Sim Associate