Kensington issues £425m securitisation

The deal is the ninth from the lender’s Finsbury Square shelf, which it uses to securitise its owner-occupied and buy-to-let originations and is priced at SONIA +101bp for the senior tranche.

The £425 million deal saw high demand from investors, leading to the transaction being upsized from an initial size of £285 million.

The transaction allows Kensington to secure more funding to support growing demand from its mortgage customers.

Alex Maddox, capital markets and digital director at Kensington, commented: “With the successful pricing of our third securitisation of the Finsbury Square programme of the year, Kensington is the most active issuer in the UK RMBS market. The continued strong investor demand for Kensington’s transactions demonstrates the market’s confidence in the high-quality business we originate.”