La Trobe Financial completes $500 million RMBS issuance 2020-S1


Martin Barry

La Trobe Financial has announced that it has successfully completed its second RMBS transaction for 2020 (and its 11th issuance since 2014) – a $500 million RMBS tactical issuance, supplementing its diverse funding program.

La Trobe Financial was able to complete the specialist transaction with repeat support from domestic and global investment houses and included a new significant global investor. Once again, support was seen across the structure with all notes over-subscribed and a strong pricing outcome, noting an extension to the call option to five years (from four years) to provide a longer funding term.

La Trobe Financial’s CFO Martin Barry stated, “We are pleased with the pricing this transaction achieved in a market that continues to carry significant uncertainty. This $500 million issuance has expanded our already-strong RMBS funding channel with a new large global investor onboarding and complementing 50 other active bidders of our paper; the issue was 1.3x overbid. The 2020-S1 bids also confirm the strength of our RMBS program, business platform and the quality of underlying assets in what remains an unclear global investment environment. La Trobe Financial has remained open for business throughout the COVID-19 virus crisis and maintains substantial forward funding capacity alongside $488 million of shock absorber and regulatory capital.”

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