Livemore, a mortgage lender for individuals aged 50 to 90 plus, has completed its inaugural securitisation, Exmoor Funding 2024-1. The transaction, totalling £208.1m, includes prime and near prime owner-occupied mortgage loans and has been assessed for compliance with the Capital Requirements Regulation (CRR) and Liquidity Regulation (LCR).
Rated by S&P and Moody’s, the residential mortgage backed security (RMBS) transaction received strong investor demand. It is backed by retirement interest-only (RIO) mortgages and standard mortgages, marking the first UK securitisation to include RIO mortgages. These mortgages, influenced by social and demographic changes, have no specific maturity date and are repayable upon property sale or certain life events.
The transaction is part of Livemore’s social bond framework, adhering to the International Capital Market Association’s social bond principles, with ISS ESG issuing a second-party opinion. This opinion supports Livemore’s mission to lend to later-life borrowers underserved by traditional lenders, helping reduce inequality and serve a recognised social purpose.
Citi acted as arrangers, with Citi and Jefferies as joint lead managers.
Founded in 2020, Livemore specialises in mortgages for those aged 50 to 90 plus, focusing on financial circumstances rather than age. Over the past four years, Livemore has expanded to offer over 300 products, including standard capital repayment, interest-only mortgages, RIO, and lifetime mortgages.
Simon Webb, Livemore’s managing director of finance and capital markets, said: “This is a notable transaction, not only because it demonstrates the significant growth of Livemore over recent years, but it clearly shows market confidence in later life lending as a financially sound investment. The securitisation plays a key part in Livemore’s continuing growth and expansion as we work to fill the gap caused by the shortfall in quality mortgage products for later-life borrowers.”
