RedZed Lending Solutions has completed its largest securitisation transaction to date, raising A$550 million through an issue of residential mortgage-backed securities.
The issue, RedZed 2021-1 RMBS, is RedZed’s tenth and takes total issuance to $3.5 billion. It is its inaugural EU, UK and Japanese risk retention compliant transaction.
Pricing on the $412.5 million of A-1 notes, which have a weighted average life of two years, is 90 basis points over the one-month bank bill swap rate.
The $64.9 million of A-2 notes, which have a weighted average life of two years, were priced at 120 bps over one-month BBSW.
The $40.7 million of B notes, which have a weighted average life of 3.6 years, was 160 bps over one-month BBSW.