Argenta Spaarbank has issued a securitization transaction, the Green Apple 2018-I-NHG in order to further support and facilitate the growing demand for home loans. The transaction, together with the Green Apple securitization of October 2017, provides additional funding to our retail finance model.
In a securitization transaction, home loans are repackaged into securities with the same home loans acting as collateral. The collateral in the transaction consists of residential loans granted by Argenta to Dutch customers and carrying the National Mortgage Guarantee (NHG) of the Dutch government. With this guarantee and thanks to the structure of the transaction, the A tranches received the top AAA/Aaa rating from Fitch and Moody’s.
The well-diversified order book was over 2.1 billion euros and resulted in the placement of 1 billion euro of A tranches with 17 institutional investors.
Features of the Green Apple 2018-I-NHG issue:
– Issuer: Argenta Spaarbank nv
– Issue amount: 1 billion euro A-tranche notes (AAA rating)
– Maturity: until 17-01-2057 with prepayment option from 17-01-2025
– Settlement date: 26-06-2018
– Coupon: Euribor 3M + 40bps
– Issue Price 101.10 %
– Yield: Euribor 3M + 18bps
– Structuring of the transaction; ABN Amro
– Joint lead managers: ABN Amro and BNP Paribas