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Project Description
EUR 55 million credit protection to Santander Leasing S.A. (“SL”), the leasing subsidiary of Santander Bank Polska S.A. (“SBP”) incorporated in Poland, via participation in a synthetic securitisation of a portfolio of circa EUR 515 million performing SME and corporate leasing and loan obligations, originated by SL. The structure uses an unfunded guarantee, passing on to EBRD the credit risk of the mezzanine tranche of the securitised portfolio.
Project Objectives
The project will allow SBP group to further enhance its financial resilience and ultimately expand its lending capacity to the real economy. SBP group commits to provide new financing to Polish SMEs and mid-caps in the amount of 4 times of EBRD’s protection, out of which an amount equivalent to 140% of EBRD guarantee will be allocated to GET eligible projects, contributing to climate action and environmental sustainability.
Transition Impact
ETI score: 60
The expected transition impact of the project is its contribution to the Resilient and Green transition qualities. The operation enables SBP Group to optimise its regulatory capital requirements by achieving a risk-weighted assets’ relief, and free up lending capacity, which will be utilised to on-lend to the real economy, focusing on supporting SME and mid-cap sectors. Moreover, the project will also contribute to the Green quality and support the Bank’s Green Economy Transition (“GET”) approach in Poland through SBP group allocating a multiple of the EBRD guarantee towards projects, which meet strict GET-eligibility criteria.
Client Information
SANTANDER LEASING SA
Santander Leasing is part of Santander Bank Polska Group and is one of the largest leasing companies in Poland with EUR 3.1 billion in assets and EUR 184 million in equity as of 30 June 2023. SL specialises in the financing of machinery, equipment and vehicles.
EBRD Finance Summary
EUR 70,000,000.00
Unfunded guarantee of EUR 55 million; mezzanine tranche of the synthetic securitisation
*EUR 70 million presented above presents the total amount approved
Total Project Cost
EUR 70,000,000.00
Unfunded guarantee of EUR 55 million; mezzanine tranche of the synthetic securitisation
*EUR 70 million presented above presents the total amount approved
Additionality
Innovative financing structure and risk mitigation: The project aims to facilitate the development and expansion of an effective capital enhancement instrument in the Polish financial market. Innovative structures / green finance instrument and standard-setting: EBRD’s participation will promote higher transaction standards and support further mobilisation of institutional investors in the future, contributing to the deepening of the securitisation market. The Bank’s additional requirement for allocating its investment to finance GET-eligible projects, a differentiating and critical feature compared to other investors, will set an example and have a demonstration effect for the rest of the Polish banking sector.
Environmental and Social Summary
Categorised FI (ESP 2019). SL is an existing client and will be required to continue to comply with the Performance Requirements 2, 4 and 9; comply with the EBRD’s Environmental and Social Risk Management Procedures as appropriate for the type of investment they undertake; and submit annual environmental and social reports to the Bank. The underlying SME and corporate lease and loan portfolio securitised and guaranteed by EBRD should be subject to SL’s ESMS, and the allocated multiple amounts should be reviewed and monitored in line with the requirements of PR9 and SL’s ESMS. Any potential renewable energy projects under the green allocation will need to follow the E&S Eligibility Criteria for hydro, wind, solar, bioenergy and geothermal projects, as applicable. Any potential solar sub-projects would be managed in line with ‘The Proposed Management Approach for Solar Supply Chain Risk Management’ (CS/FO/21-35), (CS/FO/21-35 (Add 2)) and any subsequent guidance developed under that approach.
The project is determined Paris aligned after further due diligence on the use of proceeds, based on the application of the Bank’s Paris alignment methodology for indirect finance. The GET share is 100%.
Technical Cooperation and Grant Financing
None.
Company Contact Information
Dominika Jakubowska
Dominika.jakubowska@santanderleasing.pl
+48 510 027 055
https://www.santander.pl/santander-leasing
ul. Kolorowa 8, 60-198 Poznań, Poland
PSD last updated
09 Oct 2023
Understanding Transition
Further information regarding the EBRD’s approach to measuring transition impact is available here.
Business opportunities
For business opportunities or procurement, contact the client company.
For business opportunities with EBRD (not related to procurement) contact:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com
For state-sector projects, visit EBRD Procurement:
Tel: +44 20 7338 6794
Email: procurement@ebrd.com
General enquiries
Specific enquiries can be made using the EBRD Enquiries form.
Environmental and Social Policy (ESP)
The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.
More information on the EBRD’s practices in this regard is set out in the ESP.
Integrity and Compliance
The EBRD’s Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.
OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank’s countries of operation. The information provided must be made in good faith.
Access to Information Policy (AIP)
The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.
Specific requests for information can be made using the EBRD Enquiries form.
Independent Project Accountability Mechanism (IPAM)
If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).
IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.
Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM via email ipam@ebrd.com to get guidance and more information on IPAM and how to submit a request.
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