ONE Savings Bank PLC : Acquisition and securitisation of UK first charge mortgages

22.February 2016 at 19:29:27 CET

OneSavings Bank plc

("OSB or the "Company")

Acquisition and securitisation of UK first charge mortgages

Rochester Mortgages Limited (a subsidiary of OneSavings Bank plc) has entered into a mortgage sale agreement to acquire approximately 396mm of UK residential mortgage loans (403mm as at the cut-off date of 31 October 2015) from DB UK Bank Limited (a subsidiary of Deutsche Bank, AG). Completion of the acquisition is conditional upon OneSavings Bank plc establishing an off-balance sheet securitisation vehicle, which will acquire approximately 374mm of the mortgage loan portfolio (381mm as at the cut-off date of 31 October 2015). OneSavings Bank plc will keep approximately 22mm of the portfolio on balance sheet to comply with the retention requirements of each of Article 405 of Regulation (EU) No 575/2013, Article 51 of Regulation (EU) No 231/2013 and Article 254 of Regulation (EU) 2015/35 and will act as the co-arranger and master servicer of the securitisation. Morgan Stanley will also act as the co-arranger of the securitisation.

The Transaction is in the ordinary course of the Company's business and the acquisition of the retained mortgage loans will be satisfied by cash from the Company's resources.

Deutsche Bank AG and its affiliates expect to purchase notes and residual certificates in the securitisation and may seek to sell such notes and certificates to third party investors.


OneSavings Bank plc

Alastair Pate t: 01634 838 973

Brunswick Group

Robin Wrench / Simone Selzer t: 020 7404 5959

About OneSavings Bank plc

OneSavings Bank plc ('OSB') began trading as a bank on 1 February 2011 when the trade and assets of Kent Reliance Building Society ('KRBS') were transferred into the business. OSB is a specialist lending and retail savings group authorised by the Prudential Regulation Authority, part of the Bank of England, and regulated by the Financial Conduct Authority and Prudential Regulation Authority.

OSB focuses on selected sub-sectors of the lending market in which it has established expertise, platforms and capabilities, and where opportunities have been identified for both high returns on a risk-adjusted basis and strong growth. These include Residential Mortgages (comprising first charge, second charge and shared ownership), Buy-to-Let/SME and Personal Loans. OSB originates organically through specialist brokers and independent financial advisors.

OSB is predominantly funded by retail savings originated through the established Kent Reliance franchise, which includes a network of branches in the South East of England, as well as online and postal channels. Diversification of funding is currently provided by a securitisation and OSB joined the Funding for Lending Scheme in early 2014.