Ellington Financial Inc. Completes Non-QM Loan Securitization

Rhea-AI Summary

Ellington Financial Inc. (NYSE: EFC) has successfully closed a $330 million securitization backed by non-qualified residential mortgage loans. The firm contributed around 53% of the loans in this securitization, while the remainder was provided by funds managed by Ellington Management Group. The securitization has received favorable ratings, with the senior tranche earning AAA ratings from both Fitch and KBRA. This move strengthens Ellington Financial's position in the market, highlighting its strategic involvement in mortgage-backed securities.

Positive

• Closure of a $330 million securitization enhances liquidity.
• Ellington contributed 53% of the loans, indicating strong asset backing.
• Senior tranche received AAA ratings from Fitch and KBRA, ensuring investor confidence.

Negative

• None.

OLD GREENWICH, Conn.--(BUSINESS WIRE)-- Ellington Financial Inc. (NYSE: EFC) announced today the closing of a $330 million securitization backed by a pool of non-qualified residential mortgage (“non-QM”) loans. Ellington Financial contributed approximately 53% of the loans included in the securitization, with the remainder contributed by funds managed by Ellington Management Group, L.L.C. The securitization was rated by both Fitch and KBRA, with the senior tranche receiving AAA ratings.

About Ellington Financial Inc.

Ellington Financial invests in a diverse array of financial assets, including residential and commercial mortgage loans, residential and commercial mortgage-backed securities, consumer loans and asset-backed securities backed by consumer loans, collateralized loan obligations, non-mortgage and mortgage-related derivatives, debt and equity investments in loan origination companies, and other strategic investments. Ellington Financial is externally managed and advised by Ellington Financial Management LLC, an affiliate of Ellington Management Group, L.L.C.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230206005603/en/

Investor Inquiries:

Ellington Financial Inc.

Investor Relations

(203) 409-3575

info@ellingtonfinancial.com



Press & Media Relations:

Amanda Shpiner/Sara Widmann

Gasthalter & Co.

for Ellington Financial

(212) 257-4170

Ellington@gasthalter.com

Source: Ellington Financial Inc.

FAQ

What did Ellington Financial announce on February 6, 2023?

Ellington Financial announced the closing of a $330 million securitization backed by non-qualified residential mortgage loans.

What percentage of the loans in the securitization did Ellington Financial contribute?

Ellington Financial contributed approximately 53% of the loans included in the securitization.

What ratings did the senior tranche of the securitization receive?

The senior tranche received AAA ratings from both Fitch and KBRA.

How much was the securitization backed by non-QM loans?

The securitization was worth $330 million.