Freddie Mac Prices $740 million Multifamily K-Deal, K-1522

MCLEAN, Va., Dec. 03, 2021 (GLOBE NEWSWIRE) -- Freddie Mac (OTCQB: FMCC) recently priced a new offering of Structured Pass-Through Certificates (K Certificates), which are multifamily mortgage-backed securities. The company expects to issue approximately $740 million in K Certificates (K-1522 Certificates), which are expected to settle on or about December 9, 2021.

K-1522 Pricing

Class	Principal/Notional Amount (mm)	Weighted Average Life (Years)	Spread (bps)	Coupon	Yield	Dollar Price
A-1	$167.595	10.18	40	1.91200%	1.90645%	$99.9926
A-2	$573.295	14.84	52	2.36100%	2.12222%	$103.0000
X1	$740.890	13.53	T+160	0.50827%	3.16386%	$5.5889
X3	$60.073	14.64	T+300	3.06771%	4.60979%	$32.8942

Details

• Co-Lead Managers and Joint Bookrunners: Goldman, Sachs and Co. LLC and Credit Suisse Securities (USA) LLC
• Co-Managers: Academy Securities Inc., Baird, J.P. Morgan Securities LLC and Wells Fargo Securities, LLC

Related Links

• The K-1522 Preliminary Offering Circular Supplement: http://www.freddiemac.com/mbs/data/0k1522oc.pdf
• Freddie Mac Multifamily Securitization Overview
• Multifamily Securities Investor Access database of post-securitization data from Investor Reporting Packages
  

The K-1522 Certificates are backed by corresponding classes issued by the FREMF 2021-K1522 Mortgage Trust (K-1522 Trust) and guaranteed by Freddie Mac. The K-1522 Trust will also issue certificates consisting of the Class X2-A, Class X2-B, Class C and Class R Certificates, which will not be guaranteed by Freddie Mac and will not back any class of K-1522 Certificates.

Freddie Mac Multifamily is a leading issuer of agency-guaranteed structured multifamily securities. K-Deals are part of the company’s business strategy to transfer a portion of the risk of losses away from taxpayers and to private investors who purchase the unguaranteed subordinate bonds. K Certificates typically feature a wide range of investor options with stable cash flows and structured credit enhancement.