PennyMac Financial Services said Friday its indirectly-controlled subsidiary PNMAC GMSR Issuer Trust intends to offer term notes collateralized by Ginnie Mae mortgage servicing rights and excess servicing spread.
The collateral will be evidenced by participation certificates and will be sold to the Trust by one of the company’s subsidiaries, PennyMac Loan Services under a master repurchase agreement, PennyMac said on Friday. The offering will be made solely by means of a private placement to qualified institutional buyers, it said.
PennyMac Loan Services’ obligation to the PNMAC under the master repurchase agreement will be guaranteed by the company’s direct controlled subsidiary, Private National Mortgage Acceptance Company. The company expects to use the net proceeds for general corporate purposes.