Molo completes inaugural £300 million securitisation

Buy-to-let lender, Molo, and ColCap Financial UK have successfully completed their first securitisation, ‘Molossus BTL 2024-1’.

The residential mortgage-backed security (RMBS) transaction totals £300 million of prime UK buy-to-let mortgage loans in England and Wales.

ColCap is a privately-owned, Australian non-bank lender specialising in residential mortgage loans. Founded in 2006, it has a loan portfolio in excess of AUS $14.0 billion.

ColCap acquired a majority stake in Molo in February 2023 via its UK subsidiary, ColCap UK.

Molo’s CEO, Matt Kimber (pictured), said: “The success of this RMBS highlights the strength of Molo’s mortgage lending capabilities and the credit quality of our originations. It enables us to continue empowering landlords with accessible and innovative lending solutions while reinforcing our position as a leader in the buy-to-let mortgage market.”

ColCap UK’s treasurer, Paolo Tanca, commented: “This deal represents a significant milestone for us, showcasing our ability to structure and execute successful RMBS transactions in the UK market. We are excited about the opportunities for future growth and expansion.”

ColCap UK’s executive director and COO, Esther Morley, added: “Today’s successful RMBS announcement demonstrates growing confidence in the UK property market and in the quality of Molo’s buy-to-let portfolio. This strategic move with Molo is the first of many and demonstrates our commitment to innovation. It also marks the beginning of a new chapter for ColCap in the UK market. It sets the stage for further collaborations and growth opportunities, benefiting both our UK operations and our broader global presence, including ColCap Australia.”