Element Fleet Management Corp. (TSX:EFN) (“Element” or the “Company”), a global leader in fleet management services, last week announced that its subsidiary Custom Fleet has closed an approximate AUD $1 billion asset-backed funding facility secured by commercial fleet leases and their underlying vehicles.
The facility will enhance Custom Fleet’s ability to further support its fleet customers and continue to expand its market share in the Australian market.
The facility includes a two-year revolving period followed by an amortization period. Commitments for the facility came from five financial institutions including BofAML, J.P. Morgan and Westpac Banking Corporation as senior lenders.
“We are pleased to establish this local borrowing facility which provides us with attractive funding to facilitate the continued strong growth of our business,” said Aaron Baxter, Chief Executive Officer of Custom Fleet. “Our strong operating track record, together with Element’s proven securitization expertise across its markets, contributed to the success of this transaction.”
“The launch of this facility provides Custom Fleet with a flexible, local currency funding platform from which it can continue to expand while concurrently augmenting Element’s global strategy of match-funding assets,” said Karen Martin, Element’s EVP and Treasurer.
“We appreciate the ongoing support of the lenders, both to this facility as well as our broader group of global lending partners,” added Ms. Martin.
About Custom Fleet
Custom Fleet, part of Element Fleet Management, is Australia and New Zealand’s leading fleet finance and management company, harnessing technology and expert consulting to connect businesses with where they need to be. Providing next-generation analytics and tools, Custom Fleet helps customers identify new ways to reduce costs, save time and improve safety and sustainability. For more information, visit: www.customfleet.com.au.