Dilosk DAC Raises €325 Million In Fifth Public Bond Issuance

Dublin, Ireland: Irish specialist mortgage lender Dilosk DAC has announced that it has successfully priced its fifth public bond issuance, which is backed by its own ICS Mortgages originated Owner-Occupier and Buy-to-Let Irish residential mortgages. Investor demand for this bond issuance was particularly strong, and the deal was oversubscribed with over €570 million of investor demand for €325 million of bonds.

The transaction consists of seven classes of rated bonds which were placed with 20 institutional investors. The bonds were issued by Dilosk RMBS No.5 DAC and are rated by Standard & Poor’s and DBRS rating agencies. The bonds are rated from AAA to B and are listed on the Irish Stock Exchange, trading as Euronext Dublin. Natixis acted as Sole Arranger and Natixis and BNP Paribas were joint Lead Managers for the transaction.

Fergal McGrath, Dilosk Co-Founder & CEO said, “This transaction cements our position as a frequent issuer in the bond markets and supports the strong customer demand we have been experiencing for our ICS mortgages. It represents another positive milestone for Dilosk and our ICS Mortgages brand and will enable our ambitions to increase our share of the Irish mortgage market.

“Whilst our fifth public deal, it is our third public bond securitisation backed by our own Owner-Occupier and Buy-to-Let mortgages and our second deal in 2021, which is an indicator of investor confidence in our range of innovative and keenly developed products catering directly to the needs of Irish homebuyers in both the Owner-Occupier and Buy-to-Let markets.

“The level of interest amongst international investors was significant, representing an initial level of over-subscription of over 1.7 times. Since 2015, we have now raised over €1.3 billion through five transactions in the international capital markets.”