The lender said that the securitisation was oversubscribed two times overall, with the company receiving interest for £580m, against £290m of bonds being offered.
The securitisation consisted of prime UK buy-to-let mortgages, and the lender said that “strong investor demand” had made this transaction the “tightest priced issuance” for UK buy-to-let deals since its previous securitisation in 2022.
Lendco said that there were 23 separate investors across the various tranches, which included 16 in the AAA tranches.
The firm said that this “showcases Lendco’s track record, the strength of the portfolio and investor confidence in the company”.
Lendco was launched in 2018 and offers buy-to-let mortgages and bridging loans to experienced professioanl landlords and property investors. It was launched in 2018 and has surpassed £1bn of total loan originations.
Lendco’s director of treasury, capital markets and ESG, Adrian Scragg, said: “The fact that this deal was so tightly priced whilst remaining very well subscribed speaks volumes about the quality of the mortgages we originate. Investors are comfortable with our continuity and the maturity of our portfolio.”
Simon Knight, CEO of Lendco, commented: “Five years ago, we launched with the aim of only offering high quality buy-to-let mortgages for experienced portfolio landlords.
“This third successful securitisation proves just how well we’ve done that and we continue to strive to offer our intermediaries a service and a product range that meets their clients ongoing Buy-to-Let mortgage needs.”
Industry figures have said that the securitisation market has been more challenging in recent times, saying that many deals need to be a minimum of £250m to get away and the rates are more expensive.
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