Element Fleet Management and Blackstone Announce Strategic Funding Relationship
27 February 2025 - 11:00PM
Business Wire
Initial transaction includes approximately CAD $500 million
portfolio
Element Fleet Management Corp. (TSX:EFN) ("Element"), the
largest publicly traded, pure-play automotive fleet manager in the
world, and funds managed by Blackstone Credit & Insurance,
through its Infrastructure & Asset-Based Credit group
(“Blackstone”), today announced the establishment of a strategic
funding relationship involving a portfolio of Canadian fleet lease
receivables valued at approximately CAD $500 million.
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Through this strategic arrangement, Element benefits from
substantial off-balance sheet treatment, diversifying and
optimizing its funding profile while validating the high quality of
its asset origination platform and supporting the company’s
continued growth.
“Element is committed to optimizing our funding strategies to
support our growth objectives,” said Heath Valkenburg, Incoming EVP
& Chief Financial Officer at Element. “This strategic
relationship with Blackstone enhances our ability to serve our
clients and capitalize on emerging opportunities in the
market.”
“We are pleased to provide Element with capital that helps them
better support their client base with a valuable financing tool for
companies around the globe,” said Aneek Mamik, Head of Financial
Services for Asset Based Finance at Blackstone Credit &
Insurance. “This transaction shows how we can support diverse
sectors of the real economy through our asset-based finance efforts
– where we have strong momentum and a unique platform.”
About Blackstone Credit & Insurance
Blackstone Credit & Insurance (“BXCI”) is one of the world’s
leading credit investors. Our investments span the credit markets,
including private investment grade, asset-based lending, public
investment grade and high yield, sustainable resources,
infrastructure debt, collateralized loan obligations, direct
lending, and opportunistic credit. We seek to generate attractive
risk-adjusted returns for institutional and individual investors by
providing companies with the capital needed to strengthen and grow
their businesses.
About Element Fleet Management
Element Fleet Management (TSX: EFN) is the largest publicly
traded pure-play automotive fleet manager in the world. As a
Purpose-driven company, we provide a full range of sustainable and
intelligent mobility solutions to optimize and enhance fleet
performance for our clients across North America, Australia, and
New Zealand. Our services address every aspect of our clients’
fleet requirements, from vehicle acquisition, maintenance, route
optimization, risk management, and remarketing, to advising on
decarbonization efforts, integration of electric vehicles and
managing the complexity of gradual fleet electrification. Clients
benefit from Element's expertise as one of the largest fleet
solutions providers in its markets, offering economies of scale and
insight used to reduce operating costs and enhance efficiency and
performance. At Element, we maximize our clients’ fleet so they can
focus on growing their business.
This press release contains certain forward-looking statements
and forward-looking information regarding Element, its business and
the fleet industry, which are based upon Element’s current
expectations, estimates, projections, assumptions and beliefs. In
some cases, words such as “plan”, “expect”, “intend”, “believe”,
“anticipate”, “estimate”, “may”, “could”, “predict”, “project”,
“model”, “forecast”, “will”, “potential”, “target, “by”, “proposed”
and other similar words, or statements that certain events or
conditions “may” or “will” occur are intended to identify
forward-looking statements and forward-looking information. These
statements are not guarantees of future performance and involve
known and unknown risks, uncertainties and other factors that may
cause actual results or events to differ materially from those
anticipated in the forward-looking statements or information.
Forward-looking statements and information in this news release may
include, but are not limited to, statements with respect to, among
other things, Element’s expectations regarding its future
relationship with Blackstone and Element’s expectations regarding
its growth and its ability to fund such growth. By their nature,
these statements require us to make assumptions and are subject to
inherent risks and uncertainties that may be general or specific,
which give rise to the possibility that our predictions, forecasts,
projections, expectations or conclusions will not prove to be
accurate, that our assumptions may not be correct. External factors
outside of Element’s reasonable control may impact our ability to
achieve our goals and expectations, including industry dynamics,
economic conditions, legislation and regulatory actions, the
failure of third parties to comply with their obligations to us and
our affiliates or associates, and client decisions and preferences.
These and other factors may cause actual results to differ
materially from the expectations expressed in the forward-looking
statements and may require Element to adjust its initiatives and
activities. The forward-looking statements in this news release
speak only as of the date hereof and are presented for the purpose
of assisting our stakeholders and others in understanding our
objectives and strategic priorities and may not be appropriate for
other purposes. We do not undertake to update any forward-looking
statement except as required by law. In addition, a discussion of
some of the material risks affecting Element and its business
appears under the heading “Risk Management & Risk Factors” in
Element’s Management Discussion and Analysis for the twelve-month
period ended December 31, 2024 and under the heading “Risk Factors”
in Element’s Annual Information Form for the year ended December
31, 2024, as well as Element’s other filings with the Canadian
securities regulatory authorities, which have been filed on SEDAR+
and can be accessed on Element’s profile on www.sedarplus.ca.
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version on businesswire.com: https://www.businesswire.com/news/home/20250227048575/en/
Element Rocco Colella Director, Investor Relations (437)
349-3796 rcolella@elementcorp.com Blackstone Thomas Clements
Thomas.Clements@blackstone.com 646.482.6088
Blackstone (NYSE:BX)
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