Virgin Money is returning to the market with a securitization of U.K. residential mortgage securities under its Gosforth master trust program.

The deal will offer £1.8 billion ($2.9 billion) of securities backed by U.K. prime mortgage loans. Under the capital structure two tranches with preliminary 'Aaa' ratings from Moody’s Investors Service and another tranche with a preliminary ‘Aa1’ rating.  The capital structure also includes an unrated tranche.  All of the notes are due October 2056.

Citigroup, Deutsche Bank and Lloyds are the lead managers.

The loan pool is comprised of 12,184 borrowers. The loans have a weighted average seasoning of 2.95 years and have a weighted average remaining term of 19.3 years. Approximately 77% of the pool is comprised of fixed-rate loans and 23% of the pool is comprised of floating-rate loans.

The last time Virgin issued a deal from the Gosforth program was in October 2013. That deal sold £350 million of previously retained notes from the issuer’s £2.6 billion 2012-2 deal. 

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