19th Jul 2007 12:48
Paragon Group Of Companies PLC19 July 2007 PARAGON ATTRACTS STRONG INVESTOR DEMAND --------------------------------------- FOR ITS 53rd SECURITISATION --------------------------- Investor appetite for securitised buy-to-let loans originated by Paragon remainshigh, with the Group's latest securitisation successfully completed today, 19July 2007. Paragon is the UK's most prolific issuer of residential mortgage-backedsecurities and PM15 is the Group's 53rd transaction. Backed by prime buy-to-letmortgages, this £1.0 billion transaction brings the Group's total issuance to£19.5 billion. Nick Keen, Finance Director of Paragon, said: "We continue to see stronginvestor appetite for bonds backed by Paragon's prime buy-to-let mortgages, evenin an environment where credit quality is being questioned in other sectors ofthe mortgage market. Our long-term track record as an originator of high qualityassets and as the benchmark issuer of buy-to-let RMBS has allowed us to build astrong investor base in the UK and overseas. The success of our latesttransaction demonstrates that the market continues to appreciate the superiorcredit performance of buy-to-let assets." PM15 notes were issued in three tranches, rated by Standard & Poor's, Moody'sand Fitch, and offered in Sterling, Euro and US Dollars. The details of the transaction are as follows: • The £1,001,132,732 (sterling equivalent) of Notes are issued by Paragon Mortgages (No.15) PLC in 7 classes and in three currencies. - The Class A1 senior Notes are issued in US Dollars $1,000,000,000 - The A2 senior Notes in three currencies: Sterling £209,500,000, Euro €110,000,000 and US Dollars $150,000,000 - The Class B Notes are issued in two currencies: Sterling £17,000,000 and Euro €85,500,000 - The Class C Notes are issued in Euro: €110,500,000 - The Class A1 remarketable 2a-7 Notes have been assigned a rating of P-1, A-1+, F-1+ by Moody's, Standard & Poor's and Fitch respectively. The ratings agencies have assigned ratings of Aaa, AAA and AAA respectively to the Class A2 Notes - Although all classes of Notes share the same security, the Class A1 Notes rank pari passu with the Class A2 Notes, and have priority over the Class B Notes and the Class B Notes have priority over the Class C Notes as to quarterly payments of interest and as to principal in the event of enforcement • The margins over the relevant currency reference rate for each of the tranches of the Notes are: 0bp for the Class A1; 11bp-13bp for the Class A2; 27bp for the Class B; and 55bp for the Class C Notes. • The Notes are secured by a pool of prime buy-to-let mortgages, as well as a cash fund of 1.90% of the aggregate principal balance of the Notes. • Paragon Finance PLC and Mortgage Trust Services PLC are the administrators for the issue. - ENDS - For further information, please contact: Nick KeenFinance DirectorThe Paragon Group of Companies PLCTel: 0121 712 2060 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Paragon Group