€1.47 Billion Fleet Financing Renewal to Drive European Growth and Sustainability
FRAIKIN announces that its fleet financing securitization program, was successfully renewed last April for a period of 3 years and a total commitment of EUR 1.47 billion. This is the sixth securitisation program issued by the Group, after those in 2004, 2008, 2012, 2016 and 2021.
Under the terms of this new transaction, the Eurotruck Lease FCT (“Fonds Commun de Titrisation”) provides funding to FRAIKIN ASSETS, a wholly owned subsidiary of the group, through the issuance of several Senior and Mezzanine tranches. This also confirms the relevance of FRAIKIN’s financing strategy, consisting of funding its assets through external borrowings via this securitization program and via more traditional assets base leasing arrangements.
“We are very satisfied with this transaction which is a key enabler to accelerate our growth in Europe and continue to improve our financial performance. Also, it demonstrates the trust in FRAIKIN’s strategy to become the leading full-service fleet operator providing our customers with efficient and sustainable mobility solutions for commercial and industrial vehicles.” –
Yves Pétin – CEO of FRAIKIN
This program has shown a strong appetite from banks to participate into the financing of FRAIKIN, which indicates the confidence from investors into our financial strength. This program also provides for 250m€ headroom to cope with FRAIKIN’s growth over the next 3 years : this will help the necessary decarbonation of the fleet.
With this transaction, FRAIKIN intends to ensure a sustainable financing of its fleet and its growth in France, the UK and Spain. The transaction has been arranged by Bank of America. Equitis Gestion (a member of IQ-EQ) was entrusted with setting up and managing the new FCT and also acts as fiduciary. Société Générale Securities Services was appointed custodian of the transaction
