Element Fleet Management, a publicly traded, pure-play automotive fleet manager, and funds managed by Blackstone Credit & Insurance, through its infrastructure and asset-based credit group, established a strategic funding relationship involving a portfolio of Canadian fleet lease receivables valued at approximately CAD $500 million.

Through this arrangement, Element benefits from off-balance sheet treatment, diversifying and optimizing its funding profile while validating its asset origination platform and supporting the company’s continued growth.

“Element is committed to optimizing our funding strategies to support our growth objectives,” Heath Valkenburg, incoming executive vice president and chief financial officer at Element, said. “This strategic relationship with Blackstone enhances our ability to serve our clients and capitalize on emerging opportunities in the market.”

“We are pleased to provide Element with capital that helps them better support their client base with a valuable financing tool for companies around the globe,” Aneek Mamik, head of financial services for asset-based finance at Blackstone Credit & Insurance, said. “This transaction shows how we can support diverse sectors of the real economy through our asset-based finance efforts, where we have strong momentum and a unique platform.”