A&D Mortgage, Atlas Merchant Capital, and Imperial Fund Asset Management Сlosed $426.67M Non-QM Securitization (ADMT 2025-NQM2)

(Fort Lauderdale, FL) – A&D Mortgage, a leading issuer of Non-QM residential mortgage-backed securities (RMBS), is pleased to announce the successful closing of its second securitization so far this year, A&D Mortgage Trust 2025-NQM2 (ADMT 2025-NQM2) on May 5, 2025. The $426.67 million transaction marks A&D’s 25th securitization issued with A&D-originated collateral and is the 16th transaction to be rated by Fitch featuring collateral originated and serviced by A&D under the Imperial Fund Asset Management platform. This milestone further solidifies the company’s commitment to expanding financing solutions for borrowers with diverse income profiles.

The growing demand for flexible mortgage solutions has made non-prime residential loans essential for self-employed professionals, real estate investors, and creditworthy borrowers outside traditional lending criteria. Non-QM loans fill a crucial gap in the mortgage market by serving borrowers who have strong financials but don’t fit traditional underwriting standards, such as self-employed professionals and real estate investors. By utilizing alternative documentation, these loans provide critical financing options. The recently priced $426.67 million ADMT 2025-NQM2 securitization, backed by 1,136 newly originated loans, highlights the expanding non-QM market and reinforces A&D Mortgage's leadership alongside partners Atlas Merchant Capital and Imperial Fund Asset Management.

"The successful closing of our second securitization this year is a testament to the ongoing enduring appeal of the non-QM market," said Max Slyusarchuk, CEO of A&D Mortgage and co-founder of Imperial Fund Asset Management. "For 10 years now, the Non-QM space has experienced spectacular growth, from originations, all the way through to the secondary market. We expect to price more deals this year."

The ADMT 2025-NQM2 transaction underscores the strength of A&D Mortgage’s lending platform and its ability to meet evolving borrower needs:

• Transaction Volume: $426.67 million
• Loan Count: 1,136
• Loan Origination: All loans originated by A&D Mortgage or its qualified correspondents
• Average Borrower Credit Score: 742
• Weighted Average Combined Loan-to-Value (CLTV): 69.3%
• Percentage of Non-QM Loans: 37.4%
• Percentage of Investment Property Loans: 47.4%
• Credit Enhancement: Subordination in the form of certificates that are lower in payment priority and excess spread that preserves subordination
• Servicer: 100% A&D Mortgage LLC

Rated by both S&P Global and Fitch Ratings, the deal includes a split AAA-rated tranche, highlighting the strength of the underlying loan pool and the credit enhancement structure. With 100% servicing retained by A&D Mortgage LLC, the transaction emphasizes consistency in loan performance and investor security.

Initial purchasers for the transaction include Mizuho Securities USA LLC (str), ATLAS SP Securities, a division of Apollo Global Securities LLC, Barclays Capital Inc, BMO Capital Markets Corp, Guggenheim Securities LLC, Nomura Securities International Inc, Academy Securities Inc, AmeriVet Securities, and Piper Sandler & Co.

The deal not only expands capital access for underserved borrowers but also provides a compelling opportunity for investors seeking diversified mortgage-backed assets. This securitization reflects the continued growth of the Non-QM sector, driven by strong borrower demand and investor appetite for diversified mortgage assets. A&D Mortgage’s latest transaction further solidifies its position as a key player in the expanding alternative lending space.

To learn more about the program, visit www.admortgage.com. To learn more about investment strategies, visit www.imperialfund.com.

Atlas Merchant Capital LLC, founded in 2013 by Bob Diamond and David Schamis, is an alternative asset management company with offices in New York and London. Atlas invests globally in compelling opportunities, particularly within the financial services sector, through a diverse range of funds, including private equity, credit opportunities, and SPAC-focused products. The firm’s investment strategy is rooted in a long-term, partnership-based approach, leveraging its operating and technical expertise. Atlas’s executive team brings decades of experience from top-tier global financial institutions, including Barclays Capital, Cerberus Capital Management, Citigroup, J.C. Flowers & Co, and Fortress Investment Group. For additional information, please visit atlasmerchantcapital.com

As a premier direct lender, A&D Mortgage offers a full spectrum of Conventional, Government, and Non-QM loan products with 24-hour turnaround times and some of the most competitive rates in the industry. In addition to their Prime Jumbo loan product, A&D Mortgage offers programs for Prime borrowers, Foreign National borrowers. Programs with no income verification are also offered for investment property loans. The company offers free concierge services, bank statement reviews, marketing tools and resources, and more to support the brokers they serve. In 2024, A&D Mortgage received several prestigious industry awards, including being officially verified as the #1 Non-QM Lender and a Top 3 DSCR and Bank Statement Lender by Scotsman Guide. They were also named a Top 10 Wholesale Lender by Forbes, awarded a Stevie for Innovative Mortgage Technologies, and received a Globee for Achievement in Artificial Intelligence.

A&D Mortgage, LLC is an Equal Housing Lender. NMLS ID #958660. 899 W Cypress Creek Rd, Fort Lauderdale, FL 33309. For important disclosures and state licensing information: https://admortgage.com/important-disclosures/

Imperial Fund Asset Management (“Imperial Fund”) is the asset manager for Imperial Funds founded in 2014 and headquartered in Fort Lauderdale, FL. Imperial Fund seeks to achieve attractive risk-adjusted returns by exploiting inefficiencies in the residential real estate lending market. Imperial Fund acquires and manages investment portfolios primarily comprised of mortgage loans, real estate debt securities, loans, and related instruments. Imperial Fund’s team combines a deep understanding of credit, loan level analysis, acquisition and management of mortgage loans, and mortgage origination platforms. Imperial Fund employees bring more than 100 years of combined experience in residential mortgage origination, asset and risk management, finance, capital markets, and structured finance.