"This deal, and our second warehouse, gives us even more certainty during trying times for the mortgage market and the wider world"
The £400m securitisation, Hops Hill No.1, is the first to include an element of pre-funding – meaning a proportion of the issue includes loans currently in the pipeline – since the start of the coronavirus crisis.
Joint lead managers, Santander, National Australia Bank and Standard Chartered Bank, achieved a price of Sonia +95bps for the AAA senior notes.
Keystone says it will use the capital released from the deal to boost further lending and to bring new products to the broker market in 2021.
The specialist buy-to-let lender will utilise a second warehouse facility through UK Mortgages Limited (UKML) to provide it with further secure funding,
Additionally, Keystone has promoted Elise Coole from chief operating officer to managing director. Elise has over 15 years of experience in the world of credit and lending, including previous roles at Commerzbank AG and Heylo Housing.
Elise Coole commented: “This securitisation represents a landmark moment for Keystone and is another nod to the skills, capability and years of dedication put in by our superb team here in Kent.
“The fact we were able to attract such strong investment in the middle of a global pandemic is a testament to the quality of the lending the team here carry out on a daily basis and the confidence investors have in that process.
“This deal, and our second warehouse, gives us even more certainty during trying times for the mortgage market and the wider world and will allow us to bring exciting and competitively priced products to the broker market in the coming weeks and months.
“There is plenty more to come from Keystone in 2021 and we can’t wait to share this with our loyal brokers in the near future.
“I’m thrilled to be taking over as managing director of Keystone at what is such an exciting time for the company. Keystone is a well-liked and respected brand in the broker market and one that is associated with providing a quality service and great products. I can’t wait to play my part in building on that and growing Keystone’s presence in the market in the coming weeks and months.”
