Together Financial Services has priced a £409m commercial mortgage securitisation, its seventh public deal backed by small-balance commercial real estate loans. The notes were issued through Together Asset Backed Securitisation 2026-2 CRE-7 plc, known as CRE7, with settlement expected on 28 October.
The placed notes carry a weighted average cost of 1.21% at a 95% advance rate, which measures the share of the portfolio’s value funded by the notes. Fitch and DBRS are each expected to rate 83% of the issued notes AAA(sf).
CRE7 is backed by first and second charge mortgages secured on commercial, residential and mixed-use properties across England, Wales and Scotland. First charge loans make up 98.2% of the portfolio.
Funding platform widens with latest commercial mortgage securitisation
The deal adds to a funding platform that already includes 12 public mortgage-backed securitisations, eight private securitisations, secured notes and a revolving credit facility.
Chris Adams, chief financial officer at Together (pictured), said: “The successful pricing of CRE7 marks our fourth transaction in four months, demonstrating the strength of our capital markets access and investor support. This £409 million transaction further diversifies our funding platform and provides additional capacity to support our commercial customers and SMEs across the UK.”
BNP Paribas and Lloyds Bank Corporate Markets acted as co-arrangers, while Barclays, BNP Paribas, Citi, Lloyds Bank Corporate Markets and Natixis acted as joint lead managers.
