Canterbury Finance No.5 PLC: 10 August 2022
A stand-alone issue, where the Issuer will make payments on the Notes from payments of principal and revenue received from a portfolio comprising mortgage loans and their related security originated by OneSavings Bank plc, under its trading name of Kent Reliance, and secured over residential properties located in England and Wales.
As at the Portfolio Reference Date (30 April 2022) the Provisional Portfolio comprised 6,062 first-ranking buy-to-let loans originated by the Seller and secured over properties located in England and Wales. All loans were subject to a full property valuation. The average current balance is £218,789 and the largest is for £1.486mln. Repayment method (by current balances): interest-only – 95.26%, repayment – 4.74%. Loan purpose: re-mortgage – 56.37%, purchase – 43.63%. Interest rate type: Fixed Rate Loan reverting to SVR Loan – 88.29%, Discount – 11.71%. The WA current LTV is 73.61% (original WA LTV was 73.58%) and the WA seasoning is 14.05 months. Regional distribution: Greater London – 36.39%, South East – 16.27% and East of England – 8.72%.
Significant investor: OSB shall, on the Closing Date, purchase 100% of the Class A1 Notes, the Class A2 Notes, the Class Z Notes and the Class X Notes and the Certificates. OSB has no obligation to retain the Class A1 Notes, the Class A2 Notes or the Class X Notes on an ongoing basis.
UK & EU Risk Retention: On the Closing Date, OSB will retain on an ongoing basis a material net economic interest of not less than 5% in the securitisation (i) in accordance with Article 6(1) of the UK Securitisation Regulation and (ii) under the Transaction Documents in connection with Article 6(1) of the EU Securitisation Regulation.
US Risk Retention: The Seller, as the sponsor under the US Risk Retention Rules, does not intend to retain at least 5% of the credit risk of the securitised assets for purposes of compliance with the final rules promulgated under Section 15G of the Securities Exchange Act of 1934, as amended, but rather intends to rely on an exemption provided for in Section 20 of the US Risk Retention Rules regarding non-US transactions.
Compare/contrast: Canterbury Finance No.4, Together Asset Backed Securitisation 2022-1ST1, Holmes Master Issuer (2022-1)