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Fannie Mae's Cash Tender Offers

Fannie Mae, the well-known mortgage finance company, has recently announced the initiation of fixed-price cash tender offers for a range of Connecticut Avenue Securities (CAS) Notes. This marks a significant step in managing their securities portfolio and providing liquidity to holders of these notes.

Key Details of the Offer

The tender offers, commencing as of February 23, 2026, aim to acquire any and all of the specified CAS Notes. The initiative is designed to enhance liquidity and cater to the interests of current note holders during the offer period. Each offer is subject to specific terms and guidelines outlined in the corresponding 'Offer to Purchase' and the 'Notice of Guaranteed Delivery' documents.

Expiration and Withdrawal

The offers are set to expire on February 27, 2026, at 5:00 p.m. NYC time. Notably, holders of the CAS Notes can withdraw their tenders at any time before this expiration, injecting a level of flexibility into the process that may appeal to many investors.

Role of Financial Partners

Fannie Mae has prudently engaged BofA Securities and Wells Fargo Securities as the designated dealer managers for these tender offers. Their roles include facilitating the tender process and ensuring that investors have the necessary information to make informed decisions. Meanwhile, Global Bondholder Services Corporation will act as the tender agent and information resource for participants in the tender offers.

Financial Terms and Security Information

For the tender offers, Fannie Mae will be purchasing the following CAS Notes:

• - Series 2017-C02, Class 2B-1: Original principal balance of approximately $102.7 million, offered at $1,053.50 per $1,000 original principal amount.
• - Series 2017-C02, Class 2M-2: Original principal balance of about $20.2 million, with an offer of $1,030.60 per $1,000 original principal.
• - Series 2017-C03, Class 1M-2: Offering for notes worth $3.17 million at $1,025.20.
• - Series 2023-R02, Class 1M-1: A total of $375.34 million available for purchase with an offer price of $1,025.00 per $1,000 original principal amount.

The above are just a few highlights, and a comprehensive table of all offered securities, including their principal balances and tender prices, is provided in the official documents.

Important Considerations for Holders

To be eligible for the tender offer consideration, CAS note holders are required to validly tender their notes before the expiration time. In addition to the tender consideration, those whose notes are accepted will receive accrued and unpaid interest dating back to the last interest payment date until the expected settlement date.

Fannie Mae anticipates that the settlement for these tender offers will take place on March 3, 2026. For those interested, additional information on how to tender their notes can be found in the offer documents, which can be obtained from the appointed tender agent, Global Bondholder Services Corporation.

Looking Ahead

As this financial maneuver unfolds, market analysts will keenly observe the outcomes and implications of Fannie Mae's tender offers. Transparent communication with investors remains crucial, and Fannie Mae plans to keep stakeholders informed regarding potential changes to the offer's timeline or terms. Investors considering participation in these offers should evaluate both the financial details and their personal investment strategies.

In conclusion, Fannie Mae's announcement about its cash tender offers reflects the ongoing evolution in the bond market and the company's intent to manage its financial instruments proficiently. With the support of established dealer managers, this initiative is poised to enhance investment situations for those involved, ultimately contributing to the broader financial landscape.

For more detailed inquiries or specific questions related to the offer terms, investors are encouraged to reach out directly to BofA Securities or Wells Fargo Securities—the firms managing these processes—and thoroughly review the official documents.