Australia's most active issuer - Macquarie Securitisation - will launch this week the latest offering from its PUMA RMBS program. The company has hired its parent, Macquarie Bank, Citigroup Global Markets and Deutsche Bank as joint leads on the A$2.1 billion-equivalent ($1.6 billion) offering, with Royal Bank of Scotland co-manager on the U.S. dollar and euro tranches.
Macquarie will embark on European and U.S. roadshows from Nov. 6 to 15, with pricing expected soon afterwards. The deal is collateralized by a pool of prime mortgages, with no low-documentation loans included.
Moody's Investors Service and Standard & Poor's have provisionally assigned triple-A ratings to the senior U.S., Aussie dollar and euro tranches. The $750 million A1 notes and 400 million ($510.3 million) A3 bonds have a 2.81-year expected average life; while the A$400 million A2 notes have a 2.74-year life.
The deal also features a A$55 million Aa2'/'AA' rated sub piece, which has a 5.98-year average life.
Staying Down Under, Interstar Wholesale Finance last week launched its fourth deal of the year. The specialist mortgage originator will sell a A$400 million prime RMBS via its Interstar Millennium facility. Macquarie Bank and Royal Bank of Scotland are joint lead managers on the deal, which will be the first high LTV offering by Interstar.
The underlying pool consists of 1,411 loans with a weight average loan-to-value of 95.75% and seasoning of 4.4 months. Genworth and PMI Mortgage Insurance provide 100% cover for the portfolio.
Fitch Ratings, Moody's and S&P assigned triple-A ratings to the A$127 million A1 tranche and A$220 million A2 notes, while the A$26 million AB tranche is rated AAA'/'Aa1'/'AAA'. The A$27 million sub piece is respectively rated AA'/'Aa2'/'AA'.
BMO Capital Markets last week opened an investment bank representative office in Beijing, China. The financial services provider, part of the BMO Financial Group, already has offices in Guangzhou, Hong Kong and Shanghai.
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