Paragon Grp Of Co's (PAG) - Completion of Securitisation
RNS Number : 5279P
Paragon Group Of Companies PLC
25 October 2012
THE PARAGON GROUP OF COMPANIES PLC
25 October 2012
Completion of securitisation
The Paragon Group of Companies PLC ("Paragon"), through its subsidiary Paragon
Mortgages (No.17) PLC ("PM17"), has today completed a £200 million
securitisation transaction consisting exclusively of buy-to-let assets.
PM17 comprises of £175 million of AAA rated notes at a margin of 135 basis
points over three month LIBOR, £10.5 million of AA rated notes at a margin of
190 basis points over three month LIBOR, £10 million of A rated notes at a
margin of 290 basis points over three month LIBOR. £4.5 million of
subordinated notes were retained by Paragon, which also invested £6 million in
the First Loss Fund, which brings its total investment in PM17 to £10.5
million, or 5.25% of the issue amount.
Nigel Terrington, chief executive, said: "The pricing of our latest
transaction reflects the strong credit profile of Paragon's buy-to-let assets
and our experience as an issuer of high quality bonds in the mortgage backed
securities market. This was only the second public transaction of buy-to-let
loans since the credit crunch and the first to issue A rated bonds since
Paragon will be announcing its full-year results for the 12 months to 30
September 2012 on Tuesday 20 November 2012.
For further information, please contact:
Nigel Terrington, Chief Executive, 0207 786 8455
Nick Keen, Finance Director, 0121 712 2060
Paul Farrow, Fishburn Hedges, 0207 544 3040
This information is provided by RNS
The company news service from the London Stock Exchange
MSCGMMZGGKMGZZM -0- Oct/25/2012 10:03 GMT
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