REG-ONE Savings Bank PLC : Acquisition of UK Residential Mortgages <Origin Href="QuoteRef">OSBO.L</Origin>

OsbAnnouncement

24/03/2016 14:45

OneSavings Bank plc 
 
 ("OSB or the "Company") 
 
 Acquisition of UK residential mortgages (the "Transaction") 
 
 OneSavings Bank plc today announces that it has completed the purchase of a
portfolio of UK first charge residential mortgages (the "Portfolio"). 
 
 The outstanding balance of the Portfolio was £112m as at 29 February 2016
and the Portfolio is being acquired at a discount to par. 
 
 Key highlights of the Portfolio are as follows: 
 
* Approximately 94% of the mortgages are owner occupied with the remainder
being Buy-to-Let 
* Weighted average seasoning of c.9 years 
* Weighted average current loan-to-value of c.75% 
* Weighted average interest rate of c.3.2%, principally linked to 3M Libor 
* Well diversified across the UK regions 

 
 The Transaction is in the ordinary course of the Company's business and the
acquisition of the mortgage loans will be satisfied by cash from the Company's
existing resources. 
 
 Commenting on the Transaction, Group Commercial Director of OneSavings Bank,
Jens Bech, said: 
 
 "We are delighted to further demonstrate our ability to acquire high quality
loan portfolios at attractive prices, which complements the Company's organic
origination strategy. We have a disciplined investment process and make
acquisitions where there is a strong fit in terms of strategy, risk profile
and projected financial returns. We will continue to evaluate inorganic
opportunities as they arise." 
 
 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. 
 

 This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf
of NASDAQ OMX Corporate Solutions clients. 
 The issuer of this announcement warrants that they are solely responsible for
the content, accuracy and originality of the information contained therein. 
 Source: ONE Savings Bank PLC via Globenewswire 
 HUG#1997511