Liberty prices $1.3 billion non-prime RMBS issue

Liberty Financial (Liberty) today priced its A$1.3 billion Liberty Series 2020-3 RMBS issue, its sixty-third public term securitisation.

Given this strong investor demand across all offered tranches, the transaction was upsized from a launch volume of A$800 million to A$1.3 billion. Commonwealth Bank of Australia (CBA) is the sole Arranger and a Joint Lead Manager, along with Deutsche Bank, Merrill Lynch International, National Australia Bank and Westpac Banking Corporation. SMBC Nikko will act as Co-Manager on the transaction.

The Liberty Series 2020-3 transaction comprises A$1.3 billion of notes rated by Moody’s Investors Service and Fitch Ratings (AAA notes only).

• The Liberty Series 2020-3 transaction comprises A$1.3 billion of notes rated by Moody’s Investors Service and Fitch Ratings (AAA notes only).

• The Liberty Series 2020-3 transaction comprises A$1.3 billion of notes rated by Moody’s Investors Service and Fitch Ratings (AAA notes only).

The Liberty Series 2020-3 transaction comprises A$1.3 billionn of notes rated by Moody’s Investors Service and Fitch Ratings (AAA notes only).

Ernest Biasi, Executive Director, Securitisation at CBA, said: “Liberty has once again confirmed its status as a major issuer of mortgage backed securities in the Australian market. We are extremely pleased with the level of investor participation across the capital structure and their interest in opportunities to buy collateral originated by Liberty Financial.”

Peter Riedel, Chief Financial Officer at Liberty, said: “Liberty is a leader in providing households and small businesses with the freedom to choose from a wide range of products and services to meet their financial needs. We are grateful for the support investors have extended to our business.”

Peter Riedel, Chief Financial Officer at Liberty, said: “Liberty is a leader in providing households and small businesses with the freedom to choose from a wide range of products and services to meet their financial needs. We are grateful for the support investors have extended to our business.”

Liberty has a rating of “STRONG” from Standard & Poor’s for the servicing of prime and non-prime mortgages as well as for servicing auto loans and commercial mortgages. Liberty is also Australia’s only investment grade rated non-bank issuer (BBB-, outlook stable by S&P) and one of only a few lenders with an unblemished capital markets record with no ratings downgrades or charge-offs ever experienced by its securitisation program.