Belmont Green Finance Limited

Belmont Green prices £400m securitisation deal

Belmont Green Finance Limited, trading as Vida Homeloans, has concluded its first European residential mortgage-backed security (RMBS) transaction of 2022, raising £400m from a mixed pool of BTL and owner-occupied mortgages.

The transaction, which was supported by Santander, Barclays, and Bank of America, saw strong investor interest, with the five classes of notes issued attracting over £1bn of demand, including interest from a number of new investors to the programme. 

This has helped the lender achieve its lowest cost funding to date, with the senior notes pricing at 72 basis points over Sterling Overnight Index Average (SONIA).

Belmont Green also publicly distributed the new industry standard ESG questionnaire, supplemented by a separate ESG presentation and EPC disclosures on the mortgage portfolio.

Anth Mooney, CEO at Belmont Green, said: “The specialist mortgage market continues to develop as we emerge from Covid-19, and customers subsequently reassess their living circumstances. 

“This latest RMBS deal and our resulting lower cost of funding allows Vida to help more customers and in the longer term, supports our growth ambitions as we work towards seeking authorisation as a bank from the PRA. 

“We welcome the increasing focus from investors on ESG matters, as they are a fundamental consideration in the way we run and grow the business.”  

John Rowan, CFO at Belmont Green, added: “The pricing of and strong support for our latest securitisation transaction clearly demonstrates investors’ recognition of the strength of our mortgage book and business. 

“We are happy to welcome more investors to the platform and are encouraged by the strong demand to invest in Belmont Green transactions.”

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