Dilosk RMBS No. 6 (STS): 24 April 2023
Another stand-alone transaction under the Dilosk name. On this occasion the Issuer will make payments on the Notes from payments of principal and revenue on a portfolio comprising mortgage loans which were originated by Dilosk DAC and are secured over residential properties located in Ireland.
The primary business of Dilosk is the origination and funding of residential mortgage loans in Ireland with a particular focus on Buy-To-Let mortgages.
At the cut-off date (31 January 2023) the portfolio consisted of 2,750 owner-occupied residential mortgage loans, where the average current balance is Eur196,463 and the largest is for Eur1.462mln. Repayment type (by current balances): repayment - 100.00%. Interest rate type: fixed – 89.0%, variable - 11.0%. Mortgage Loan Purpose: purchase - 67.9%, re-mortgage - 17.4%, Re-mortgage with equity release – 14.0%, equity release – 0.7%. The WA current LTV (non-indexed) is 63.6%, the original LTV was 67.8% and the WA seasoning is 26.8 months. Regional concentration: Dublin - 46.1%, Mid-East – 20.3% and South West - 9.2%.
Significant Investor: The Seller will, on the Closing Date, subscribe for 100% of the Class X Notes, Class Z1 Notes, Class Z2 Notes and the Class R Notes.
EU & UK Risk Retention: On the Closing Date and until all the Notes have been redeemed in full, Dilosk as originator will retain a material net economic interest of not less than 5% in the securitisation. As at the Closing Date, the EU Retention and the UK Retention will each be satisfied by the Retention Holder subscribing for and thereafter holding an interest in not less than 5% of the nominal value of each Class of Notes (other than the Class X Notes and the Class R Notes).
US Risk Retention: The transaction is not intended to involve the retention by a sponsor of 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: Dilosk No.5, Kinbane 2022-RPL 1 DAC, Shamrock Residential 2023-1 DAC