Investor interest continues to swirl Down Under as ColCap Financial ups the ante in Australia's non-bank lending sector.
The non-bank priced its latest residential mortgage-backed security (RMBS) at a whopping $2.7 billion — the largest ever for both ColCap and the industry — just days after rival non-bank lender MA Money priced a $1.2 billion security, and three months after Brisbane-based non-bank Firstmac set a $2.5 billion benchmark.
The transaction, ColCap's first for 2026, was initially guided at $1 billion, but upsized to $2.7 billion, thanks to strong investor demand from both domestic and international investors, the company said. The RMBS is secured over a pool of prime Australian residential mortgages and includes a five-year note.
"This is a testament to our securitisation leadership and the high quality of Australian non-bank prime lending," said Andrew Chepul, chief executive officer of ColCap and pictured above.
David Carroll, treasurer of the firm, added that Australia’s stable regulatory environment has further boosted investor demand.
"We see strong demand for asset performance and we continue to meet that demand," he said.
ColCap's RMBS was secured over a pool of loans, which included self-managed super fund (SMSF) loans, owner-occupied and investment loans. The loans were originated through multiple distribution channels, including the broking channel, the company said.
"The broking channel is an important part of our multi-channel distribution strategy, which also includes wholesale and retail channels," Chepul said. "We look forward to continuing to work with all of our partners to meet the needs of clients with innovative finance solutions.”
