Alecta, PGGM and Helaba completes credit risk sharing transaction referencing an underlying portfolio of EUR 2.1 billion
In a credit risk sharing transaction, also known as on-balance-sheet securitisations, rather than selling any actual loans, default risks are synthetically transferred to investor(s). The contractual relationship between Helaba and its borrowers remains unaffected. There were three tranches which referenced a corporate portfolio of EUR 2.1 billion, with Helaba holding the equity tranche (first loss) as well as the senior tranche. A special purpose entity (SPE) provided Helaba with credit protection for the mezzanine tranche, which was funded by the SPE issuing credit-linked notes (CLNs) equivalent to the amount of the credit protection. The CLNs were sold to the Dutch pension fund investor PGGM and the Swedish pension fund Alecta. Helaba acted as originator and lead manager in the chosen transaction structure, which included additional support from Citi as structuring and placement agent. To support the administration and management of the transaction, a cutting-edge IT system from iconicchain was used, which largely automated the internal processes.
"We have ventured into new territory with this means of securitisation", commented a delighted Thomas Groß, Helaba's CEO, on the successful completion of the transaction. He added: "This ground-breaking transaction clearly demonstrates that we have the capability to develop innovative products that enjoy widespread acceptance in the market".
Christian Keller, Head of Markets for Germany and Austria at Citi: “The whole team at Citi is delighted to have helped support Helaba in closing their first-ever credit risk sharing transaction, resulting in attractive RWA relief on the bank’s corporate loan book. This is the first transaction for Helaba’s newly set up credit-risk sharing program and we are looking forward to supporting in the future as well.”
Mascha Canio, Head of Credit & Insurance Linked Investments at PGGM: “Investing in Helaba’s inaugural credit risk sharing transaction marks the addition of a new counterparty to the portfolio we manage on behalf of our client PFZW and provides further diversification given the unique client base of Helaba. Furthermore, the STS qualification achieved by the transaction testifies to Helaba’s desire to implement the highest standards in risk transfer, which PGGM strongly supports.”
Tony Persson, Alecta’s head of Fixed Income and Strategy, shares: “We welcome this addition to our growing portfolio of credit risk sharing investments and are very happy to be adding a new risk sharing relationship with Helaba. For Alecta the transaction offers a valuable source of credit diversification and opportunity to benefit from Helaba’s specific client base. This fits well with the long term strategy of our fund and will create value for our 2.6 million Swedish customers. We look forward to further grow our portfolio and see plenty of scope getting exposure to many different loan books and thereby providing additional capacity to lend to the real economy.”
“We are honoured to be Helaba’s IT provider of choice for managing the complete administrative and reporting lifecycle of their first credit risk sharing transaction”, András Vajda, CEO of iconicchain added. He continued: “This Project is another proof how iconicchain’s cutting-edge technology can support innovative banks’ such as Helaba’s objectives.”
Helaba was supported by SKS-Group and Deloitte, while Linklaters acted as Helaba’s legal adivsor; Simmons & Simmons acted as legal advisor to PGGM and Alecta and Clifford Chance as legal advisor for Citi.
About Helaba
One of the leading banks in the German financial capital of Frankfurt, the Helaba Group employs approximately 6,300 people and has total assets of 212 bn Euro. It offers a complete range of financial services from a single source for companies, banks and institutional investors. Acting sustainably has long been a central tenet of Helaba's business model and reflects our public service mission. Our aim is to provide our clients with expert advice on ESG issues as well as bespoke financing solutions designed to help them successfully navigate their own transition towards a sustainable future.
About PGGM
PGGM is a not-for-profit cooperative pension fund service provider. As a pensions administrator, asset manager and advisor to pension fund boards, it executes its social mandate: to provide for good old-age incomes for 4.4 million participants in the Netherlands. On March 31, 2022 PGGM managed long-term pension capital of EUR 273 billion worldwide. Rooted firmly in the Dutch healthcare sector, PGGM develops innovative provisions for labour market issues in this sector, alone or with strategic partners. Our member organisation PGGM&CO supports 764,000 workers and pensioners with a background in healthcare.
Keywords
Contacts
Jacob LapidusChef externkommunikation och press
Om du är försäljare, ring inte utan skicka ditt ärende via e-post.
Images
About Alecta
Alecta manages collectively agreed occupational pensions. Since 1917, our mission has been to provide the best possible occupational pensions for our corporate and private customers. We focus on high returns, great customer service and low costs. We manage approximately 1100 billion SEK for our owners – 2,6 million private clients, and 35 000 corporate clients.
Subscribe to releases from Alecta
Subscribe to all the latest releases from Alecta by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Alecta
Stabil avkastning för Alecta första halvåret20.8.2024 08:00:00 CEST | Pressmeddelande
Alectas finansiella rapport första halvåret 2024. Siffror inom parentes avser nyckeltal per 30 juni 2023.
Kort tid i Sverige ger hälften av den allmänna pensionen23.5.2024 11:52:40 CEST | Pressmeddelande
Individer med färre än 20 vistelseår i Sverige har betydligt lägre inkomst än de som varit här mer än 40 år. Det presenterade Alecta vid ett pensionsseminarium idag torsdagen den 23 maj som en del i den årliga studien Pensionärernas ekonomiska situation. Siffrorna är baserade på SCB-data.
Sex ledamöter omvaldes och fyra nyvaldes till Alectas styrelse26.4.2024 15:54:32 CEST | Pressmeddelande
På Alectas Överstyrelsemöte den 25 april valdes tio styrelseledamöter. De valdes fram till att 2025 års ordinarie Överstyrelsemöte hållits.
Alectas kvartalssiffror för första kvartalet 202423.4.2024 08:00:00 CEST | Pressmeddelande
Siffror inom parentes avser nyckeltal per 31 mars 2023.
Pandemiåren minskade antalet långtidssjukskrivna – framför allt inom psykiska diagnoser18.4.2024 13:00:00 CEST | Pressmeddelande
Det visar ny forskning från Karolinska Institutet som presenterades vid ett seminarium torsdagen den 18 april. Forskningsteamet, lett av Kristin Farrants, har undersökt sjukskrivning och sjuk- och aktivitetsersättning (tidigare kallat förtidspension) bland privatanställda tjänstemän i Sverige under åren 2019-2021*.
In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.
Visit our pressroom