First Green Asset-Backed Commercial Paper (ABCP) Indexed to SOFR
After issuing the first green Asset-Backed Commercial Paper note financing electric vehicles (EVs) in client auto loan and lease pools in July 2020, Crédit Agricole CIB recently arranged the first green ABCP indexed to the Secured Overnight Financing Rate (SOFR).
Issued by Atlantic Asset Securitization LLC, one of Crédit Agricole CIB's ABCP programs, the notes were placed with two ESG money market funds.
The ABCP met green asset ABCP eligibility criteria within Crédit Agricole’s Green Bond Framework subject to a Vigeo Eiris Second Party Opinion. The issuance finances EVs and hybrids in auto portfolios (clean transportation) and solar loan transactions (renewable energy).
Crédit Agricole CIB is a top-tier global sponsor of securitization ABCP programs with USD $26 billion of global assets outstanding.
“Atlantic’s green SOFR issuance is a key milestone – in terms of completing the LIBOR transition, in terms of providing innovative green sustainable financing solutions to our clients, and in terms of offering a robust menu of green investments to our ESG investor base.”
Oskar Rogg, Head of Treasury, Americas
“The combination of both green sustainable and SOFR-linked ABCP FRN issuance is a very exciting development for our clients and investors. We look forward to introducing new investors as we build scale in eligible green assets in our ABCP programs.”
Michael Guarda, Head of Financing and Funding Solutions for the Americas