Bluestone taking indications of interest for Sapphire 2019-1 RMBS deal

On 27 March, Bluestone Group (Bluestone) began taking indications of interest for its residential mortgage-backed securities (RMBS) transaction, Sapphire 2019-1 Trust. The potential deal has indicative total volume of A$400 million (US$284.1 million) and is expected to launch and price in the week beginning 1 April. 

Sapphire 2019-1 structure and indicative price guidance

TrancheIndicative volume (A$m)Expected ratingsWeighted-average life (no. of years)Indicative price guidance (bp/1m BBSW)
A1S 80 Aaa 0.4 85-90 area
A1L 180 Aaa 2.7 145 area
A2 83.6 Aaa 2.7 225 area
B 30 Aa2 3.7 255 area
C 5.6 A2 3.7 330 area
D 7.2 Baa2 3.7 430 area
E 4.4 Ba2 3.7 low to mid 600s area
F 4.8 B2 2.9 750 area
G 4.4 NR 4 ND

Source: National Australia Bank

National Australia Bank is arranger for the deal, and joint lead manager alongside Commonwealth Bank of Australia, Deutsche Bank and Macquarie Bank.