Macquarie prices A$1 billion PUMA S-2 Series A RMBS transaction

12 May 2005

Macquarie Securitisation Limited, the manager of the PUMA residential mortgage backed securitisation programme,announced that it has priced and upsized the PUMA Masterfund S-2 Series A bond issue. The transaction, which is backed solely by stated income loans, was upsized from the original A$750 million to A$1 billion. The transaction is Macquarie's second RMBS issue for 2005.

The Class A senior notes, to be rated AAA by Standard & Poor's Ratings Group and Aaa by Moody's Investors Service, with a face value of A$960 million (originally A$720 million), were priced at a margin of 0.23 per cent (23 basis points) over 1-month BBSW. The Class B subordinated notes, to be rated AA by Standard & Poor's and Aa2 by Moody's, with a face value of A$40 million (originally A$30 million), representing 4.0 per cent subordination, will carry a margin of 0.37 per cent (37 basis points) over 1-month BBSW.

Macquarie Securitisation's Treasurer Mr Matthew O'Hare said "We were overwhelmed by the response to this transaction, particularly given that this was our debut Australian dollar denominated stated income issue. The significant oversubscription allowed the size of the issue to be increased, making S-2 the largest unwrapped Australian dollar denominated issue of this nature. With a weighted average margin over time (WAMOT) of 23.4 basis points, it is also the lowest priced stated income issue to date."

The issue was 1.8 times oversubscribed at the clearing priced based on the original volume, and had a total of 22 investors participating in the issue. Approximately 25 per cent of the orders were from investors in Australia, 55 per cent from Europe and 20 per cent from the Asian region. "We were particularly pleased to see the participation in this issue of a number of European and Asian investors who are new to the PUMA Program," Mr O'Hare added.

Macquarie Debt Markets and Deutsche Bank AG were joint lead managers and book runners to the issue. The issue will settle on May 20 2005.

Through the PUMA Programme, Macquarie has raised a total of A$25.3 billion in 29 separate issues since 1993, involving 19 public issues in Australia, five public issues in the Euro markets and five global issues, making Macquarie the largest issuer of mortgage backed securities in Australia.

For further information, please contact:

Matthew O'Hare
Head of Funding
Macquarie Securitisation Limited
Tel: (612) 8232 3481

Kathryn Hanes
Public Relations
Macquarie Bank Limited
Tel: (612) 8232 6016

Macquarie prices A$1 billion PUMA S-2 Series A RMBS transaction (pdf 53kb)

This release is not an offer of securities for sale in the United States.  The notes described above may not be offered or sold in the United States absent registration or an exemption from registration. No public offering of the notes is intended, and any public offering of the notes to be made in the United States would be made by means of a prospectus that may be obtained from the issuer and that will contain detailed information about the trust.

Macquarie Securitisation Limited is not an authorised deposit-taking institution for the purposes of the Banking Act (Cth) 1959, and Macquarie Securitisation Limited's obligations do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542. Macquarie Bank Limited does not guarantee or otherwise provide assurance in respect of the obligations of Macquarie Securitisation Limited.

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