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Sign in Sign up for a FREE subscriptionLendInvest completes first U.K. fintech securitization with £259m transaction
LendInvest, a marketplace for property finance, has securitized £259 million ($328 million) of U.K. prime buy-to-let mortgage loans in an oversubscribed RMBS transaction.
It is the United Kingdom’s first marketplace platform to securitize its own assets. The securitization received an AAA rating (for 83 percent of the securitization) from both Moody’s Investors Service and Fitch Ratings, the global credit rating agencies.
The securitization is part of a strategy being executed by LendInvest to continue to drive down its cost of capital, and continue its move toward the mainstream mortgage market. The senior tranche for the inaugural issue was priced at 130 basis points over SONIA (Sterling Overnight Index Average).
In addition to reducing the cost of funding, the process frees up LendInvest’s capacity to fund future buy-to-let mortgage loans as the company continues to win market share from traditional bank lenders.
LendInvest launched its buy-to-l
