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Bastion 2020-1 NHG B.V.: 17 May 2020

The issuer will make payments on the notes from payments of principal and interest received from a portfolio comprising mortgage loans originated by the Originator and secured over residential properties located in the Netherlands. The Mortgage Loans were originated by HollandWoont B.V. and are distributed by a network of intermediaries, which mainly comprises of mortgage consultancy service associations and independent financial advisers.

The seller, MeDirect Bank, is a duly licensed Belgian credit institution and is supervised by the NBB. The Seller is also subject to supervision by a Joint Supervisory Team consisting of representatives of the ECB, the NBB and the Malta Financial Services Authority. The Seller is, save for one share held by MDB Group Limited, a wholly-owned subsidiary of MeDirect Bank (Malta) plc which is classified as a systemically important institution in Malta. The principal activities of the MeDirect group comprise lending to international corporate borrowers, investing in Dutch government-guaranteed (NHG) mortgages, the provision of banking and investment services primarily to mass-affluent retail customers in Malta and Belgium, and provision of corporate banking services to corporate customers in Malta.

At the cut-off date (30 April 2020) the portfolio consists of 1,867 Dutch residential loans (in 3,759 loan parts), all with an NHG guarantee. The average principal balance per borrower is Eur201,120 and the largest is for Eur315,699. Redemption type (by current balances): annuity – 75.4%, interest-only – 18.8% and linear – 5.8%. Interest rate type: Fixed – 100.00%. The WA CLTOMV is 87.64%, the WA CLTOFV is 103.11% and the WA seasoning is 0.30 years. Regional concentration: Zuid Holland – 18.5%, Noord Brabant – 15.7%, Gelderland – 12.2%, Overjissel – 11.6% and Noord Holland – 11.0%.

EU Risk Retention: MeDirect Bank, as originator within the meaning of Article 6 of the Securitisation Regulation, has undertaken to retain, on an ongoing basis, a material net economic interest of not less than 5% in the securitisation transaction in accordance with Article 6 of the Securitisation Regulation. As at the Closing Date, such material net economic interest is retained in accordance with Article 6(3)(d) of the Securitisation Regulation by the retention of the Subordinated Notes, representing an amount of at least 5% of the nominal value of the securitised exposures.

US Risk Retention: Neither MeDirect Bank nor any other party intends to retain at least 5% of the credit risk of the securitised assets within the meaning of, and for purposes of compliance with, the U.S. Risk Retention Rules, but rather intends to rely on an exemption provided for in section 20 of the U.S. Risk Retention Rules regarding non-U.S. transactions that meet certain requirements.

STS: The transaction is intended to qualify as an STS securitisation within the meaning of Article 18 of the Securitisation Regulation. Consequently, on the date of the Prospectus, the transaction described therein meets the requirements of Articles 19 to 22 of the Securitisation Regulation and, at the Closing Date, has been notified by the Seller to be included in the list published by ESMA referred to in Article 27(5) of the Securitisation Regulation.

Compare/contrast: Green Apple 2019-1 NHG, Sinopel 2019 B.V.