Element Financial closed the issuance of $1.7 billion in term notes through Chesapeake Funding II. This follows the previous issuance of $1.5 billion in variable funding notes issued on December 16 and brings the total amount of funding completed through Chesapeake II to $3.2 billion since its inception as the new funding platform for Element’s U.S. fleet management business.

Subsequent to these issuances, Element has un-drawn commitments of $1.5 billion available from Chesapeake II to fund future growth in fleet assets. Interest rate spreads for both series of notes were in line with previously funded fleet ABS transactions. Proceeds from the notes will be used to repay a portion of Element’s three-year term senior secured credit facility.

JP Morgan Securities acted as the sole structuring agent and lead arranger for these transactions together with a syndicate of 14 lenders.