Ellington Financial Inc. Completes Non-QM Securitization
Ellington Financial (NYSE: EFC) has completed a $290 million securitization backed by non-qualified residential mortgage loans. The company contributed approximately 65% of the loans, while funds managed by Ellington Management Group provided the remainder. The debt tranches received top ratings from Fitch and KBRA, with senior-most tranches achieving AAAsf and AAA (sf) ratings. EFC retained certain tranches to comply with U.S. and EU credit risk retention rules and maintained the option to call the securitization after the optional redemption date.
Ellington Financial (NYSE: EFC) ha completato una securitizzazione di 290 milioni di dollari garantita da mutui residenziali non qualificati. L'azienda ha contribuito con circa il 65% dei prestiti, mentre i fondi gestiti da Ellington Management Group hanno fornito il resto. Le tranche di debito hanno ricevuto punteggi elevati da Fitch e KBRA, con le tranche più senior che hanno raggiunto valutazioni AAAsf e AAA (sf). EFC ha trattenuto alcune tranche per conformarsi alle normative statunitensi e dell'UE sulla retention del rischio di credito e ha mantenuto l'opzione di richiamare la securitizzazione dopo la data di riscatto facoltativa.
Ellington Financial (NYSE: EFC) ha completado una securitización de 290 millones de dólares respaldada por préstamos hipotecarios residenciales no calificados. La empresa contribuyó con aproximadamente el 65% de los préstamos, mientras que los fondos gestionados por Ellington Management Group proporcionaron el resto. Las tranches de deuda recibieron las mejores calificaciones de Fitch y KBRA, siendo las tranches más senior calificadas como AAAsf y AAA (sf). EFC retuvo ciertas tranches para cumplir con las reglas de retención de riesgo crediticio de EE. UU. y la UE y mantuvo la opción de llamar a la securitización después de la fecha de redención opcional.
Ellington 금융 (NYSE: EFC)는 비자격 주택 담보 대출을 기반으로 하는 2억 9천만 달러 규모의 증권화를 완료했습니다. 회사는 대출의 약 65%를 기여했으며, Ellington Management Group이 관리하는 자금이 나머지를 제공했습니다. 부채 트랜치는 Fitch와 KBRA에서 최고 등급을 받았으며, 가장 상위 트랜치는 AAAsf와 AAA (sf) 등급을 기록했습니다. EFC는 미국 및 EU의 신용 위험 보유 규정을 준수하기 위해 일부 트랜치를 보유했으며, 선택적 상환일 이후에 증권화를 호출할 옵션을 유지했습니다.
Ellington Financial (NYSE: EFC) a terminé une titularisation de 290 millions de dollars soutenue par des prêts hypothécaires résidentiels non qualifiés. La société a contribué à environ 65 % des prêts, tandis que des fonds gérés par Ellington Management Group ont fourni le reste. Les tranches de dette ont reçu les meilleures notes de Fitch et KBRA, les tranches les plus seniors ayant atteint des notations AAAsf et AAA (sf). EFC a conservé certaines tranches pour se conformer aux règles de conservation du risque de crédit des États-Unis et de l'UE et a maintenu l'option d'appeler la titularisation après la date de rachat optionnelle.
Ellington Financial (NYSE: EFC) hat eine Wertpapieremission über 290 Millionen Dollar abgeschlossen, die durch nicht qualifizierte Wohnungsbaudarlehen gedeckt ist. Das Unternehmen hat etwa 65 % der Darlehen beigetragen, während von Ellington Management Group verwaltete Fonds den Rest bereitgestellt haben. Die Schuldtitel erhielten von Fitch und KBRA höchste Bewertungen, wobei die seniorsten Tranchen AAAsf und AAA (sf) Bewertungen erreichten. EFC behielt bestimmte Tranchen, um den US-amerikanischen und EU-Vorschriften zur Risikobeibehaltung bei und behielt sich die Option vor, die Verbriefung nach dem optionalen Rückzahlungsdatum zurückzurufen.
- Successful completion of $290 million securitization
- Highest possible AAA ratings achieved for senior tranches
- Strategic retention of call option provides flexibility
- None.
Insights
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The retention of certain tranches while maintaining the call option provides valuable flexibility in managing the securitization's lifecycle. This structure allows EFC to potentially benefit from both ongoing interest income and future market opportunities through the call option. Compliance with both U.S. and EU risk retention rules also broadens the investor base and enhances marketability of the securities.
The debt tranches issued in the securitization were rated by Fitch and KBRA, with the senior-most tranches receiving AAAsf and AAA (sf) ratings, respectively. The Company retained certain tranches of the securitization in compliance with both
About Ellington Financial
Ellington Financial invests in a diverse array of financial assets, including residential and commercial mortgage loans and mortgage-backed securities, reverse mortgage loans, mortgage servicing rights and related investments, consumer loans, asset-backed securities, 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.
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Investor Inquiries:
Ellington Financial Inc.
Investor Relations
(203) 409-3575
info@ellingtonfinancial.com
Press & Media Relations:
Amanda Shpiner/Grace Cartwright
Gasthalter & Co.
for Ellington Financial
(212) 257-4170
Ellington@gasthalter.com
Source: Ellington Financial Inc.
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