UK Mortgages Limited (UKML) and TwentyFour Asset Management LLP (TwentyFour) have announced the mandate for Oat Hill No.1 PLC, a public securitisation of Buy-to-Let mortgages originated by Capital Home Loans, purchased in February 2017 by UK Mortgages. TwentyFour, the appointed Portfolio Advisor, has mandated BofAML as Arranger and BofAML and NatWest Markets as Joint Lead Managers for Oat Hill No. 1. UK Mortgages says that a transaction offering Triple-A rated Class A Notes is expected to follow in the near future subject to market conditions, with roadshow meetings commencing on Thursday 25th May. It also says that the issuer will seek Bank of England and European Central Bank eligible status for the Class A Notes.
UK Mortgages Limited aims to provide Shareholders with access to stable income returns through the application of relatively conservative levels of leverage to portfolios of UK mortgages. The Company expects that income will constitute the vast majority of the return to Shareholders and that the return to Shareholders will have a relatively low volatility and demonstrate a low level of correlation with broader markets. The Company will target a net total return on the Issue Price of between 7 and 10% a year, once the Company is fully invested.
UK Mortgages announces securitisation for Oat Hill No.1 PLC : UKML