Further to our update in April 2021 the European Securities and Markets Authority (“ESMA”) has now approved the registrations of the first two securitisation repositories under the EU Securitisation Regulation. European DataWarehouse GmbH and SecRep B.V. have been registered as securitisation repositories for the European Union.
A securitisation repository centrally collects and maintains the records of securitisations. The securitisation repository concept was introduced by the EU Securitisation Regulation as a means to provide investors in a “public securitisation” (ie a securitisation where a prospectus has to be drawn up in compliance with the EU Prospectus Regulation) with a single and supervised source of the data necessary for performing their due diligence.
First two securitisation repositories registered
The obligation to report information through a registered securitisation repository will apply to all public securitisations within the scope of the EU Securitisation Regulation from 30 June 2021, being the date that these two registration decisions become effective. Reporting entities were encouraged by ESMA to immediately contact one of the registered securitisation repositories.
As we noted in our April 2021 update, the securitisation special purpose entity (“SSPE”) in a public securitisation is typically designated by transaction parties as the relevant reporting entity for the purposes of Article 7 of the EU Securitisation Regulation. Such SSPEs are strongly encouraged to review their transaction documents to ensure that appropriate arrangements are in place for the necessary information to be reported through one of the registered securitisation repositories. Reporting the necessary information to a website which meets the requirements of the fourth sub-paragraph of Article 7(2) of the EU Securitisation Regulation will no longer be sufficient to discharge the reporting obligations imposed by the EU Securitisation Regulation from 30 June 2021 onwards.
This article is provided for general information purposes only and does not purport to cover every aspect of the themes and subject matter discussed, nor is it intended to provide, and does not constitute or comprise, legal or any other advice on any particular matter.