A&OShearman has advised NatWest Bank plc on a residential mortgage-backed securities transaction backed by U.K. residential mortgages, with a portfolio value of GBP2 bn. The transaction was arranged by NatWest Markets, which also acted as lead manager.
This transaction represents NatWest Bank's first stand-alone securitization of residential mortgage assets achieving accounting derecognition in doing so. The portfolio size and the first-of-its-kind nature for the bank underscore the strategic significance of the deal, as well as NatWest Bank's confidence in A&OShearman to deliver a smooth execution on a complex, high-profile mandate.
The capital structure includes a GBP1.78bn Class A1 Note, together with Class A2–G Notes, a Class R Note, and residual certificates.
Sally Onions, UK co-head of global financial markets at A&OShearman, said: "This RMBS marks a significant step in NatWest Bank's continued optimization of its funding and capital strategy. Achieving accounting derecognition on a stand-alone basis required thoughtful structuring, careful execution, and close collaboration with a sophisticated client team. We are proud to have supported NatWest Bank on a transaction that sets an important benchmark for the market."
The A&OShearman team was led by partnerSally Onions, alongside senior associateNeil Grant, and associateJames Sweeney.
A&OShearman regularly advises NatWest Bank and the NatWest Group on a wide variety of structured finance transactions across the UK and Europe, including both public and private transactions.