The Mortgage Lender, based in Glasgow, has managed to securitise its first portfolio of residential assets for a total notes issuance of £238.5m.
The deal included £202.2m of note – equivalent to 87 per cent of the pool – rated Aaa/AAA by rating agencies Moody’s and international firm DBRS.
The AAA-rated tranche was priced at 110bps, 13bps behind Kensington’s recent deal for the lender, which started residential lending in 2016.
The securitisation follows a record first quarter for the company with growth accelerating, which it said puts it on track for £1bn of applications in 2019.
The Mortgage Lender deputy chief executive Peter Beaumont said: “We are very proud to have completed our first UK residential mortgage backed securitisation which has achieved a better than expected price in an uncertain pre-Brexit climate.
“This is a milestone for The Mortgage Lender and we look forward to being a regular originator of securitised assets moving forward.”
The Mortgage Lender’s range includes mortgages for the self-employed, those with impaired credit, lending into retirement and buy-to-let investors.
Trevor Pothecary, former chief executive of Mortgages Plc, which was sold to Merrill Lynch International Bank for in excess of £100m in 2004, launched the lender.
The management team also includes deputy chief executive Peter Beaumont who has held board positions at RPS Capital Partners, Mortgages plc and Bank of America Merrill Lynch and chief commercial director Keith Street, former head of Kensington Mortgages.
Victoria is group editor, Mortgage Solutions and Your Mortgage at AE3 Media.
Previous titles include editor of What Mortgage and Credit Today and a stint freelancing for various titles, including The Guardian, Which? and Money.co.uk