Pepper Group prices PRS 24 Securitisation

Posted: 16-05-2019

Pepper Group’s PRS 24 transaction was priced on Wednesday 15 May, issuing $750m of bonds back by Australian mortgages. This is Pepper’s second PRS issuance of 2019 and the third in total.

Pepper’s PRS program is more heavily weighted towards near prime and non-conforming mortgages and is designed to optimise the funding of its asset originations.

“These transactions are evidence of why Pepper exists. That’s because they represent how Pepper is helping customers who have been overlooked by the banks, obtain the loan they need to succeed. And in the current environment, it makes us particularly proud to showcase our ability to execute deals with such frequency and diversity of investors.” Pepper Group Australian CEO Mario Rehayem

Commenting on the strong support from investors Paul Byrne, Pepper’s Group Treasurer, said “The transaction was very well supported by our deep and diversified onshore and offshore institutional investor base. This was the third transaction where we had the opportunity to demonstrate our green credentials and to demonstrate industry leadership in relation to energy efficient housing and the need to reduce the carbon footprint of our housing stock. We also provided new and existing investors with the opportunity to continue to invest in green Euro bonds. This tranche continues to attract investor attention with the book being two times covered at the top.

‘In aggregate we sold the equivalent of A$ 162m in green bond format. “We are delighted to have welcomed new ESG and SRI investors to our PRS platform in this transaction. We remain committed to continuing to meet investor demand for green bonds and will bring a further 2 green bond tranches to the market over the course of 2019.

This brings our year to date primary issuance to A$ 2.25bn.”

For more information please contact:

Pepper Money
Senior Marketing Communications Manager
Melissa Fanous
mfanous@pepper.com.au
0412 033 103