Pepper Australia has finalised the refinancing of a portion of the A$5 billion portfolio of mortgages it bought from GE Capital last year, with the pricing of a $500 million issue of residential mortgage-backed securities - Pepper Prime 2012-1 Trust.One tranche of the issue was structured for the United States money market. Pepper will pay 39 basis points over Libor on the US$200 million A-u1 tranche, which has a weighted average life of 0.9 of a year.Pricing on the A$263 million A-a tranche, with a weighted average life of 2.2 years, is 145 basis points over the one-month bank bill swap rate. Pricing on the A$30 million AB tranche, with a weighted average life of 3.7 years, is 310 basis points over the bank bill swap rate.Pricing on the B and C tranches was not disclosed.Pepper's group treasurer, Todd Lawler, said in a statement that the issue was supported by 11 investors, including three offshore buyers. Support from the Australian Office of Financial Management was not required.