Specialist lender, Together, has issued £275 million to support the successful completion of its debut public residential mortgage-backed security (RMBS) transaction.
Credit-rating agencies The Moody’s and DBRS rated Together Asset Backed Securitisation 1 PLC (TABS) and will complement Together’s existing private securitisations, senior secured notes and banking syndicate facilities. TABS gained substantial interest from a wide range of institutions, being 2.5 times oversubscribed in total.
Supported by a portfolio of first and second charge buy-to-let residential mortgages, TABS has secured against property in England, Wales and Scotland. The company will refinance assets forming part of Together’s AA rated Charles Street facility, which was established 10 years ago.
Commenting on this new development, Together’s group CFO Gary Beckett, said that firm continues to go from ‘strength to strength’. “This facility will further increase the depth and diversity of our funding structure to support the business on its exciting growth journey,” he said.
Marc Goldberg, commercial CEO, added: “Having traded successfully for 43 years, we have a proven track record and a robust business model.”
“The success of this transaction affirms our financial strength and will allow us to offer new products to our customers, putting us in a great position to move forward with our ambitious plans.”
Together was founded in 1974 and has traded profitably through every economic cycle since then. Today, the business has over 550 colleagues and a loan book in excess of £2.2 billion, with record annual lending for the year to 30 June at £1.2 billion.
HSBC, Lloyds Bank and Natixis were appointed as joint lead managers to the £275 million securitisation deal, with Barclays and NatWest Markets as co-managers.