ColCap issues latest $1.5bn RMBS to strong investor demand

By July 30, 2021News

Triton 2021-2 RMBS is ColCap’s equal largest and lowest-priced RMBS to date 

ColCap (formerly Columbus Capital), a leading non-bank prime lender specialising in Australian residential mortgage lending, today announced the pricing of its latest prime residential mortgage-backed security (“RMBS”), known as Triton 2021-2. 

At $1.5 billion, the transaction equals ColCap’s largest issuance to date and with the 3 year tranche priced at just 70 basis points above the one-month Bank Bill Swap Rate (BBSW), it is the lowest price ever achieved by a non-ADI issuer for a tranche of equivalent tenor. 

The transaction generated strong local and international demand, including from major banks and institutional investors. That it closed significantly oversubscribed reflects continued investor confidence in ColCap’s high-quality asset portfolio and ColCap’s strong momentum in the Australian RMBS market, where the Company has a 14-year track record. 

The transaction is ColCap’s 21st prime RMBS issuance and takes the Company’s total issuance to over $12 billion, with $5.8 billion issued since the beginning of 2020. This includes two world-first RMBS: one consisting of 100% self-managed super fund-borrowers, and another award-winning 100% non-resident borrower RMBS. 

ColCap CEO, Andrew Chepul said: “We were pleased to see such strong and continued demand for our latest RMBS issuance, which was ColCap’s equal largest and lowest-priced to date. ColCap remains one of Australia’s fastest-growing non-bank prime lenders, and this $1.5 billion issuance – which takes our total prime RMBS issuance to over $12 billion in our 14-year history – has us very strongly positioned for further growth in 2021.” 

ColCap Treasurer, David Carroll said: “The strong demand for ColCap RMBS issuance is further evidence that investors remain highly confident in the quality of the assets underpinning our Triton RMBS programme and our strong track record in the Australian RMBS market.”
 

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This article was originally written and featured by Peter Brookes and Ryan Thompson of Citadel-MAGNUS 

Peter Brookes
Citadel-MAGNUS
+61 2 8234 0104
pbrookes@citadelmagnus.com  

Ryan Thompson
Citadel-MAGNUS
+61 2 8234 0101
rthompson@citadelmagnus.com