Rams Home Loans yesterday confirmed the speculation of recent months that it was on the market and weighing up the alternatives of an IPO or a trade sale. An offering circular issued by nabCapital, which is arranging a $500 million issue of residential mortgage-backed securities originated by Rams, included a disclosure that Rams "is presently considering a proposal which may result in a change of control".It went on to say that "an application has been made to convert Rams Group to a public company".NabCapital director of securitisation Gary Tucker said any change would have no impact on the securitisation deal. The beneficial interest in the mortgages would be transferred to a trustee in any case and the back office servicing is to be undertaken by a third party.The securitisation transaction, Series 2007-2H, is the second by Rams backed entirely by loan with loan-to-valuation ratios of 95 to 100 per cent.Puma is the only other Australian issuer to have done a high LVR RMBS issue. Its $750 million issue was priced last week, with the senior tranche 18 basis points over the bank bill swap rate.Moody's reported yesterday that 52 per cent of the loans in the Rams portfolio had LVRs above 99 per cent. Moody's said that about 70 per cent of the loans in the portfolio had mortgage insurance. Moody's has assigned a provisional rating of Aaa to the $433 million senior tranche.