Mortgage Backed Bonds Limited
Mortgage Backed Bonds Limited (‘MBBL’) was established by AXA New Zealand in July 2004. It is a limited liability company, incorporated in New Zealand under the Companies Act 1993.
MBBL enabled investors to gain exposure to the property sector. Bonds were issued to members of the public and the proceeds were subsequently invested in a range of property loans throughout New Zealand, predominantly in the commercial office and retail sectors.
As a consequence of the global financial crisis MBBL suspended the repayment of principal on Bonds and the issue of new Bonds in August 2008. On 31 July 2009, Bond holders approved a moratorium proposal and the wind-down of the Bond programme commenced in August 2009.
Exemption from obtaining a credit rating
As MBBL is a non-bank deposit taker under the Reserve Bank of New Zealand Act 1989, it was required to have a credit rating from 1 March 2010. However, MBBL was granted an exemption from this requirement under the Deposit Takers (Moratorium) Exemption Notice 2009, because it is currently in moratorium and does not accept any subscriptions from the public for Bonds or other debt securities. The exemption expires on 1 March 2013.