As part of EBS Group's ongoing funding initiatives and to ensure we will continue to offer competitively priced mortgage products to our customers in the long term, we have established a subsidiary credit institution under the Asset Covered Securities Act 2001. The subsidiary is called EBS Mortgage Finance and is a wholly owned subsidiary of EBS Limited.
EBS Mortgage Finance is regulated by the Central Bank of Ireland as a designated credit institution (DCI) and raises funds under the Asset Covered Securities Act 2001 by issuing asset Covered Securities, commonly referred to as covered bonds. This is not a new way to raise funds many institutions across Europe raise funds in this manner, two other Irish residential mortgage lenders already have covered bond bank subsidiaries.
EBS Mortgage Finance is a rated bank, it has a Fitch Ratings long term senior rating of 'BBB-' , an Issuer Default Rating of 'BBB-' and a short term senior rating of F3.
EBS Mortgage Finance has established a €6,000,000,000 Asset Covered Securities funding programme, the securities issued under this programme are rated Baa3, on review for possible downgrade by Moodys and A-, rating which is negative by Fitch.