Vecta 1, Aurigen Reinsurance's embedded value life securitisation (STORM 19 December 2011), has closed at C$120m, paying an 8% fixed coupon. The deal has been rated triple-B plus by S&P.

The subject business consists of 447,444 term, permanent, and universal life (UL) policies on Canadian lives with aggregate face amount of approximately C$22bn, average face amount of C$49,779 and aggregate annual premium payments of approximately C$65m in 2010. Highlights of the securitised business profile are as follows (% by face account): 59.7% issue age 30-49 and 99.8% issue age <70; 39% UL, 18% 20-year term, and 43% 10-year term; and 99.59%

Joint bookrunners were Credit Agricole Securities (USA), the structuring lead, and Swiss Re Capital Markets.