A Service For Professionals Wednesday, November 22, 2017
Contact (202) 540-8337
U.S. Commodity Futures Trading Commission News Today
A Service For Professionals Wednesday, November 22, 2017 11614 Sources 417,019,174 Articles 3,022,490 Readers
Contact (202) 540-8337

Freddie Mac Prices $1.2 Billion Multifamily K-Deal, K-069

/EINPresswire.com/ -- MCLEAN, VA--(Marketwired - Nov 10, 2017) - Freddie Mac (OTCQB: FMCC) recently priced a new offering of Structured Pass-Through Certificates (K Certificates), which are multifamily mortgage-backed securities. The company expects to issue approximately $1.2 billion in K Certificates (K-069 Certificates), which are expected to settle on or about November 20, 2017.

K-069 Pricing

Class   Principal/Notional Amount (mm)   Weighted Average Life (Years)   Spread (bps)   Coupon   Yield   Dollar Price
A-1   $121.706   6.80   S + 40   2.8920%   2.5530%   $101.9947
A-2   $1,097.800   9.83   S + 55   3.1870%   2.8297%   $102.9940
A-M   $45.985   9.85   S + 61   3.2480%   2.8903%   $102.0419
X1   $1,219.506   9.19   T+115   0.3694%   3.4415%   $3.2376
XAM   $45.985   9.60   Non-Offered
X3   $206.010   9.64   T+270   1.9963%   5.0114%   $15.4440

Details

  • Co-Lead Managers and Joint Bookrunners: Barclays Capital Inc. and Wells Fargo Securities, LLC
  • Co-Managers: Academy Securities, Inc., Credit Suisse Securities (USA) LLC, Hunt Financial Securities, LLC and Morgan Stanley & Co. LLC
  • Rating Agencies: Morningstar Credit Ratings, LLC and S&P Global Ratings

Related Links

The K-069 Certificates are backed by corresponding classes issued by the FREMF 2017-K69 Mortgage Trust (K-69 Trust) and guaranteed by Freddie Mac. The K-69 Trust will also issue certificates consisting of the Class X2-A, X2-B, B, C, D and R Certificates, which will not be guaranteed by Freddie Mac and will not back any class of K-069 Certificates.

Freddie Mac Multifamily is a leading issuer of agency-guaranteed structured multifamily securities. K-Deals are part of the company's business strategy to transfer a portion of the risk of losses away from taxpayers and to private investors who purchase the unguaranteed subordinate bonds. K Certificates typically feature a wide range of investor options with stable cash flows and structured credit enhancement.

This announcement is not an offer to sell any securities of Freddie Mac or any other issuer. Offers for any given security are made only through applicable offering circulars and related supplements, which incorporate Freddie Mac's Annual Report on Form 10-K for the year ended December 31, 2016, filed with the Securities and Exchange Commission (SEC) on February 16, 2017; all other reports Freddie Mac filed with the SEC pursuant to Section 13(a) of the Securities Exchange Act of 1934 (Exchange Act) since December 31, 2016, excluding any information "furnished" to the SEC on Form 8-K; and all documents that Freddie Mac files with the SEC pursuant to Sections 13(a), 13(c) or 14 of the Exchange Act, excluding any information furnished to the SEC on Form 8-K.

Freddie Mac's press releases sometimes contain forward-looking statements. A description of factors that could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements can be found in the company's Annual Report on Form 10-K for the year ended December 31, 2016, and its reports on Form 10-Q and Form 8-K, filed with the SEC and available on the Investor Relations page of the company's Web site at www.FreddieMac.com/investors and the SEC's Web site at www.sec.gov.

Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since our creation by Congress in 1970, we've made housing more accessible and affordable for homebuyers and renters in communities nationwide. We are building a better housing finance system for homebuyers, renters, lenders and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac's blog FreddieMac.com/blog.

MEDIA CONTACT:
Christopher Spina
703-388-7031
Christopher_Spina@FreddieMac.com
INVESTOR CONTACTS:
Robert Koontz
571-382-4082
Aaron Dunn
571-382-5818

Powered by EIN Presswire