NIBC Bank successfully launches Dutch MBS XVIII

Transaction follows DMBS XVII that was issued in September 2012

Today, NIBC Bank launched Dutch MBS XVIII, a securitisation under the bank's Dutch residential mortgage backed programme. The transaction was very well received by European investors, only four months after the successful closing of Dutch MBS XVII in September 2012.

The deal has a total size of EUR 526.5 million and is collateralised by a pool of high quality Dutch residential mortgages with an attractive loan-to-index-market value of 72.3%. Two tranches with a total size of EUR 500 million were offered to the market. The first tranche, A1, has a size of EUR 140 million and a weighted average life of 1.96 years. The A1 tranche was priced at 3 months euribor +0.45%. The A2 tranche, with a size of EUR 360 million and an weighted average life of approximately 5 years, was priced at 3 months euribor +0.95%. Both tranches obtained a AAA rating from Moody's and Fitch.

The bonds were placed with a broad group of international investors in the Netherlands, Germany, France, Belgium and United Kingdom. The joint-lead managers of the transaction were Credit Suisse, Morgan Stanley and NIBC Bank.

"We are very pleased with the successful issue of DMBS XVIII. Investors across Europe have always shown healthy appetite for our high quality securitisation programme, but this time the transaction attracted even greater interest, resulting in a very healthy, amply oversubscribed and diversified order book. The success of DMBS XVIII underlines the quality of Dutch residential mortgage backed securities and the growing confidence in the financial markets and the solid financial position of NIBC", Jeroen Drost, CEO of NIBC Bank, comments.

NIBC is commited to and supports recent market initiatives that further improve transparency and standardisation of securitised products. In that respect, DMBS XVIII has been documented and will be reported according to the standards of the Dutch Securitisation Association (DSA). In addition, the transaction complies with the criteria of Prime Collateralised Securities (PCS) and has therefore been awarded with the PCS label.