On 27 March, Bluestone Group (Bluestone) began taking indications of interest for its residential mortgage-backed securities (RMBS) transaction, Sapphire 2019-1 Trust. The potential deal has indicative total volume of A$400 million (US$284.1 million) and is expected to launch and price in the week beginning 1 April.
Sapphire 2019-1 structure and indicative price guidance
Tranche | Indicative volume (A$m) | Expected ratings | Weighted-average life (no. of years) | Indicative price guidance (bp/1m BBSW) |
---|---|---|---|---|
A1S | 80 | Aaa | 0.4 | 85-90 area |
A1L | 180 | Aaa | 2.7 | 145 area |
A2 | 83.6 | Aaa | 2.7 | 225 area |
B | 30 | Aa2 | 3.7 | 255 area |
C | 5.6 | A2 | 3.7 | 330 area |
D | 7.2 | Baa2 | 3.7 | 430 area |
E | 4.4 | Ba2 | 3.7 | low to mid 600s area |
F | 4.8 | B2 | 2.9 | 750 area |
G | 4.4 | NR | 4 | ND |
Source: National Australia Bank
National Australia Bank is arranger for the deal, and joint lead manager alongside Commonwealth Bank of Australia, Deutsche Bank and Macquarie Bank.