(Boursier.com) — The EIB Group (formed by the European Investment Bank – EIB and the European Investment Fund – EIF) has signed with BNP Paribas Personal Finance its first securitization transaction with perfect transfer. The EIB Group’s global assistance will support the transition towards climate neutrality and will make it possible to finance investments in the energy efficiency of existing housing.
In total, the EIB Group is investing EUR 450 million – EUR 400 million for the EIB and EUR 50 million for the EIF – in senior and mezzanine tranches of securities backed by a portfolio of consumer loans constituted by BNP Paribas Personal Finance . Private investors will invest EUR 24 million in the senior tranches.
The operation, backed by a portfolio of 500 ME of consumer loans granted by BNP Paribas Personal Finance, is structured by BNP Paribas Personal Finance and optimized so as to free up capital to make additional loans and financing available. BNP Paribas CIB acted as strategic advisor in the transaction.
As part of the agreement, BNP Paribas Personal Finance undertakes to provide new loans to individuals for approximately €627 million over a period of three years. The funded projects will focus exclusively on the installation of energy efficiency equipment in homes, including high energy performance boilers, insulating windows and solar panels. All these projects will thus contribute to the reduction of CO2 emissions.
“I would like to thank the European Investment Bank which is supporting us in this totally innovative project. Thanks to the EIB and its financial support, we will be able to finance 627 ME of subsidized loans to households over the next three years, enabling them to thus to opt for renewable energies and carry out the energy renovation of their homes. This operation is a new illustration of BNP Paribas Personal Finance’s commitment to the ecological transition of households. Today, we are financing the energy transition of housing to the tune of €4 billion, or nearly 4% of our outstanding credit”, commented Charlotte Dennery, Managing Director of BNP Paribas Personal Finance.
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