Freddie Mac Announces Results of Tender Offer for Certain STACR Notes

Rhea-AI Summary

Freddie Mac announces tender results of offer to purchase STACR Notes, with approximately $1.49 billion aggregate original principal amount tendered and not withdrawn. The Offer was conducted in accordance with the conditions set forth in the Offer to Purchase and related Notice of Guaranteed Delivery. BofA Securities, Inc. and Nomura Securities International, Inc. are lead dealer managers for the Offer.

MCLEAN, Va., March 13, 2024 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) (the “Company”) today announced the tender results of its previously announced offer to purchase (the “Offer”) any and all of the STACR^® (Structured Agency Credit Risk) Notes listed in the table below (the “Notes”). Certain of the classes of Notes subject to the Offer were issued by the STACR trusts identified in the table below (each, a “Trust”). Freddie Mac is the holder of the owner certificate issued by each Trust and, as a result, the sole beneficial owner of each Trust.

The Company has conducted the Offer in accordance with the conditions set forth in the Offer to Purchase dated March 6, 2024 (the “Offer to Purchase”) and related Notice of Guaranteed Delivery dated March 6, 2024 (collectively, the “Offer Documents”). Capitalized terms used but not defined in this Press Release have the meanings ascribed to such terms in the Offer Documents.

As of 5:00 p.m., New York City time, on Tuesday, March 12, 2024 (the “Expiration Time”), approximately $1.49 billion aggregate original principal amount of the Notes had been validly tendered and not properly withdrawn as set forth in the table below:

Title of Security	STACR Trust (if applicable)	CUSIP Number (Rule 144a / Regulation S)	ISIN Number (Rule 144a / Regulation S)	Original Principal Amount		Percentage of Original Principal Amount Tendered and Accepted1		Original Principal Amount Tendered and Accepted2
STACR 2017-DNA2 B-1	N/A	3137G0PR4 / N/A	US3137G0PR43 / N/A		$57,620,333	28.48	%	$	16,410,333
STACR 2018-DNA3 B-1	Freddie Mac STACR Trust 2018-DNA3	35563WBD5 / N/A	US35563WBD56 / N/A		$31,585,000	26.12	%		8,249,115
STACR 2019-DNA4 B-1	Freddie Mac STACR REMIC Trust 2019-DNA4	35565ABD1 / N/A	US35565ABD19 / N/A		$16,750,000	97.01	%		16,250,000
STACR 2019-FTR2 B-1	Freddie Mac STACR Trust 2019-FTR2	35564WBD4 / N/A	US35564WBD48 / N/A		$40,250,000	32.30	%		13,000,000
STACR 2019-HQA1 B-1	Freddie Mac STACR Trust 2019-HQA1	35563MBD7 / N/A	US35563MBD74 / N/A		$81,400,000	15.45	%		12,580,000
STACR 2019-HQA3 B-1	Freddie Mac STACR Trust 2019-HQA3	35564XBD2 / N/A	US35564XBD21 / N/A		$43,290,791	100.00	%		43,290,791
STACR 2019-HQA4 B-1	Freddie Mac STACR REMIC Trust 2019-HQA4	35565CBD7 / N/A	US35565CBD74 / N/A		$25,355,234	100.00	%		25,355,234
STACR 2019-HRP1 M-3	Freddie Mac STACR Trust 2019-HRP1	35564RBF0 / N/A	US35564RBF01 / N/A		$15,290,000	100.00	%		15,290,000
STACR 2020-DNA3 B-1	Freddie Mac STACR REMIC Trust 2020-DNA3	35565WBD3 / N/A	US35565WBD39 / N/A	$	250,000,000	98.80	%		247,000,000
STACR 2020-DNA5 M-2	Freddie Mac STACR REMIC Trust 2020-DNA5	35566AAH2 / N/A	US35566AAH23 / N/A	$	308,000,000	92.51	%		284,934,000
STACR 2020-DNA6 M-2	Freddie Mac STACR REMIC Trust 2020-DNA6	35566CAH8 / N/A	US35566CAH88 / N/A	$	208,000,000	98.32	%		204,500,000
STACR 2020-HQA3 B-1	Freddie Mac STACR REMIC Trust 2020-HQA3	35565MBD5 / N/A	US35565MBD56 / N/A	$	225,000,000	100.00	%		225,000,000
STACR 2020-HQA5 M-2	Freddie Mac STACR REMIC Trust 2020-HQA5	35565TAH2 / N/A	US35565TAH23 / N/A	$	375,000,000	100.00	%		375,000,000
Total								$	1,486,859,473

^{1 Rounded to the nearest hundredth of a percent.
2 For STACR 2019-DNA4 B-1, STACR 2019-HQA3 B-1, STACR 2020-DNA5 M-2, STACR 2020-DNA6 M-2,STACR 2020-HQA3 B-1 and STACR 2020-HQA5 M-2, the original principal amount tendered and accepted includes $3,000,000, $33,346,791, $7,250,000, $12,251,000, $47,684,000 and $4,500,000, respectively, expected to be tendered by guaranteed delivery prior to the guaranteed delivery deadline. The guaranteed delivery deadline is 5:00 p.m., New York City time, on Thursday, March 14, 2024.}

The Settlement Date for the Notes tendered and accepted for purchase in the Offer is expected to occur on Thursday, March 14, 2024. Any Notes tendered using the Notice of Guaranteed Delivery and accepted for purchase are expected to be purchased on Friday, March 15, 2024, but payment of accrued interest on such Notes will only be made to, but not including, the Settlement Date.

BofA Securities, Inc. and Nomura Securities International, Inc. are lead dealer managers, and Academy Securities, Inc. is co-dealer manager, for the Offer. For additional information regarding the terms of the Offer, please contact BofA Securities, Inc. at (980) 387-3907 or (888) 292-0070 (toll-free); or Nomura Securities International, Inc. at (212) 667-2159. Requests for the Offer Documents may be directed to Global Bondholder Services Corporation, as tender agent, at (212) 430-3774 or (855) 654-2015 (toll-free), or by email at contact@gbsc-usa.com.

This announcement does not constitute an invitation to participate in the Offer in or from any jurisdiction in or from which, or to or from any person to or from whom, it is unlawful to make such Offer under applicable securities laws or otherwise. The distribution of materials relating to the Offer, and the transactions contemplated by the Offer, may be restricted by law in certain jurisdictions where it is legal to do so. The Offer is void in all jurisdictions where it is prohibited. If materials relating to the Offer come into your possession, you are required by Freddie Mac to inform yourself of and to observe all of these restrictions. The materials relating to the Offer do not constitute, and may not be used in connection with, an offer or solicitation in any place where offers or solicitations are not permitted by law. If a jurisdiction requires that the Offer be made by a licensed broker or dealer and a dealer-manager or any affiliate of a dealer-manager is a licensed broker or dealer in that jurisdiction, the Offer shall be deemed to be made by the dealer-manager or such affiliate on behalf of Freddie Mac in that jurisdiction.

About Freddie Mac Single-Family Credit Risk Transfer
Freddie Mac’s Single-Family CRT programs transfer credit risk away from U.S. taxpayers to global private capital via securities and (re)insurance policies. We founded the GSE Single-Family CRT market when we issued our first Structured Agency Credit Risk (STACR^®) notes in July 2013. In November 2013, we introduced our Agency Credit Insurance Structure^® (ACIS^®) program. Today, CRT serves as the primary source of private capital investment in residential mortgage credit. For specific STACR and ACIS transaction data, please visit Clarity, our CRT data intelligence portal.

About Freddie Mac
Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website | Consumers | Twitter | LinkedIn | Facebook | Instagram | YouTube.

MEDIA CONTACT: Fred Solomon
703-903-3861
Frederick_Solomon@freddiemac.com

FAQ

How much aggregate original principal amount of the Notes was tendered and not properly withdrawn?

Approximately $1.49 billion aggregate original principal amount of the Notes had been validly tendered and not properly withdrawn.

When was the Expiration Time for the Offer?

The Expiration Time for the Offer was 5:00 p.m., New York City time, on Tuesday, March 12, 2024.

What is the Settlement Date for the Notes tendered and accepted for purchase in the Offer?

The Settlement Date for the Notes tendered and accepted for purchase in the Offer is expected to occur on Thursday, March 14, 2024.

Who are the lead dealer managers for the Offer?

BofA Securities, Inc. and Nomura Securities International, Inc. are lead dealer managers for the Offer.

How can one request the Offer Documents?

Requests for the Offer Documents may be directed to Global Bondholder Services Corporation, as tender agent, at (212) 430-3774 or (855) 654-2015 (toll-free), or by email at contact@gbsc-usa.com.