auxmoney successfully issues record EUR 500 million social bond
auxmoney, a leading digital-lending platform for consumer credit in Europe, has successfully placed its largest-ever asset-backed security transaction in the capital markets, known as “Fortuna Consumer Loan ABS 2024-1”.
- auxmoney has achieved another unprecedented milestone by placing its largest-ever ABS transaction with a record amount of EUR 500 million
- With this transaction, auxmoney has again re-opened the European market in 2024, issuing the first consumer loan ABS deal for the second year in a row
- Strong investor demand resulted in all placed tranches being significantly oversubscribed. In total, auxmoney has placed bonds for more than EUR 1.3 billion in the capital markets
Düsseldorf/Dublin, 31th January 2024
auxmoney, a leading digital-lending platform for consumer credit in Europe, has successfully placed its largest-ever asset-backed security transaction in the capital markets, known as “Fortuna Consumer Loan ABS 2024-1”. The Fortuna transactions have received several awards for excellence and outstanding achievements in European Structured Finance.
Dr. Daniel Drummer, CFO at auxmoney, explains:
“We are delighted to have closed this landmark transaction with a record size of EUR 500 million. Having publicly placed more than 1 EUR billion since our debut deal in 2021 is an achievement which puts us ahead of any other consumer Fintech company in Europe. Investor demand for this deal has widely surpassed expectations with tranches being up to seven times oversubscribed. Our fourth ABS deal therefore exemplifies the thriving marketplace model of auxmoney.”
With its fourth social bond, backed by a Second party Opinion from Fitch, auxmoney continues to promote social and financial inclusion. Through a strongly differentiated risk assessment, auxmoney improves access to affordable credit while reducing the risk and cost of lending. Customers benefit from better rates and transparency.
Boudewijn Dierick, Managing Director at auxmoney Investments, highlights:
“As a well-known repeat issuer, auxmoney is an excellent platform to attract leading investors. We’re thrilled to have 25 top-tier institutional investors invest in the AAA-tranche alone, including some of Europe’s most prestigious banks, pension funds and asset managers.”
The AAA-rated class A bonds issued follow the standards defined in the International Capital Market Association’s (ICMA) Social Bond Principles (SBP). Fitch has issued a Second Party Opinion (SPO) on the social bond framework of auxmoney confirming the eligibility of the collateral as security for social bond. The transaction is certified by SVI as a securitisation meeting the requirements for simple, transparent and standardised securitisation (STS). The securities are listed at the Luxembourg Stock Exchange.
About auxmoney
auxmoney is a leading digital-lending platform for consumer credit in Europe. Through unique risk models and truly digital processes, auxmoney improves access to affordable credit while reducing the risk and cost of lending. Customers benefit from better rates and transparency. Many institutional investors like family offices, banks, insurance companies and pension funds are taking advantage of the predictable returns achievable on the auxmoney marketplace. auxmoney is on the forefront of promoting and improving financial inclusion.
