The Housing Finance Corporation (THFC) has today priced £20.5m nominal of its Funding No.3 retained bonds for the North west borrower, Weaver Vale Housing Trust (WVHT).
Today’s deal priced at an all-in rate of 3.625% based on a GILT of 2.095%, and a credit spread of 1.53%.
WVHT, who operate within Cheshire, have maintained an impressive record since their inception in 2002, of bringing dynamic support and sustainability to the communities and customers they work alongside.
WVHT’s Director of Finance and Business Services, Andrew White, shed light on where the funds will be utilised: “Weaver vale will be using the funds to re-finance its existing loan facility which will allow it to develop 500 new homes in Cheshire.”
This latest pricing comes only a short while after THFC’s new subsidiary, bLEND Funding Plc, came to the market with a 29-year inaugural transaction. It involved three borrowers (Fortis Living, Wales and West and Waterloo Housing Group) and priced at Gilts + 1.58% with a re-offer cost of 3.45%.
This recent pricing activity continues to display the competitive nature of the THFC Group’s bond issuances. Piers Williamson, Chief Executive of THFC and bLEND said, “We are pleased to be able to issue at comparable spreads to our last retained bond. The recent increased volatility in the Gilt market is a function not just of BREXIT, but overseas market volatility as well.
This is a foretaste of several months of more challenging conditions for bond issuance. We are pleased that, once again, we’ve been able to demonstrate THFC’s ability to deliver.”
For more information concerning bLEND Funding Plc, please visit the following web address: www.blendfundingplc.com.
If you require any further information, please contact:
Piers Williamson, Chief Executive, The Housing Finance Corporation Limited
Tel: 020 7337 9920, Email: Piers.Williamson@thfcorp.com
Andrew White, Director of Finance and Business Services, Weaver Vale Housing Trust
Tel: 0300 303 9848, Email: Andrew.White@wvht.co.uk
JESSICA is a European initiative designed to promote sustainable investment, growth and jobs in urban areas. This can be done.
THFC have followed up the initial £500m guaranteed EIB bank loan to Affordable Housing Finance (“AHF”) with a £208m debut.