The asset-backed securities market came to life last week, with Flexigroup and Zip completing placements worth a combined A$550 million.

Flexigroup raised $250 million with an issue of asset-backed securities. The collateral was a pool of unsecured consumer receivables originated in Australia by the company’s buy now pay later business, humm.

The Flexigroup issue is distinctive for issuing green notes, which are backed by solar receivables and have been certified by the Climate Bonds Standard Board.

The $141 million of A1 notes and $40 million of A1-G notes were priced at a margin of 115 basis points over the one-month bank bill swap rate.

The $19.6 million of B-G notes were priced at a margin of 205 bps and the $16 million of C-G notes were priced at a margin of 255 bps.

Flexi ABS Trust 2020-1 is the company’s 11th securitisation since in entered the market in 2011.

Zip raised $300 million with its issue. A distinctive feature of Zip Master Trust Series 2020-1 is that all the notes were issued on a “soft bullet” basis, which means that no principal will be repaid prior to the refinancing date.

The $158.4 million of A1 notes were priced at a margin of 160 bps and the 36 million of A2 notes were priced at a margin of 215 bps.