Press Release|RMBS
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KBRA Downgrades One Rating and Affirms Three Ratings for Banna RMBS DAC

1 Sep 2026   |   London

Contacts

KBRA UK (KBRA) has completed a surveillance review for Banna RMBS which has resulted in the downgrade of Class B ratings and affirmation of the Class C, Class D and Class E ratings. KBRA’s analysis indicated that existing credit enhancement for the notes is sufficient to support the affirmed ratings. The downgrade of the Class B rating reflects consideration of the decreasing level of cashflow and the increased variability of those cashflows as a result of liquidation timelines and recoveries. The ratings on two classes previously lowered to CCC (sf) and below remain susceptible to principal loss and continued interest shortfalls over their term.

The notes are collateralised by a pool of seasoned mortgages originated by KBC Ireland PLC prior to 2009 and secured by buy-to-let (BTL) properties located in the U.K. but which are primarily owned by residents of the Republic of Ireland. The loans are serviced by Pepper Finance Corporation (Ireland) DAC (Pepper).

To access ratings and relevant documents, click here.

Click here to view the report.

Methodologies

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

This credit rating is endorsed by Kroll Bond Rating Agency Europe Limited for use in the European Union. Information on a credit rating’s endorsement status is available on its rating page at KBRA.com.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

There are certain issuers, entities or transactions rated by KBRA Europe or KBRA UK that may be or have relationships with Shareholders and/or Shareholder-Related Companies, as that term is defined in KBRA’s Shareholder and Shareholder Related Companies for KBRA Europe and KBRA UK Policy and Procedure. Relevant disclosure information may be found here.

About KBRA UK

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S. Kroll Bond Rating Agency UK is located at 1st Floor, Marble Arch House, 66 Seymour Street, London W1H 5BT, England.

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