Signature(s)
Summary sheet
- Credit lines - Credit lines
The operation under the European Guarantee Fund (EGF) consists in a guarantee on the first loss piece (FLP) tranche of a synthetic securitisation of a portfolio of loans and/or leases originated by UniCredit Bank Germany.
The aim is to facilitate the access to finance to small and medium-sized enterprises (SMEs) in Germany and mitigate the negative economic effects of the COVID-19 pandemic.
The proposed transaction consists of an EGF operation, in the form of a first loss piece (FLP) guarantee on an existing portfolio of SME and Midcap loans originated by UniCredit Bank AG, also known as HypoVereinsbank, in order to support new lending to SMEs.
UniCredit is well-known to the Bank and an experienced promoters in deploying EIB mandates. The quick mobilisation of SME financing is strategic considering their high contribution to the country's growth and employment.
The proposed operation addresses a market failure related to SMEs access to finance in the aftermath of the Covid-19 pandemic. The operation is expected to mitigate the financial constraints for this market segment and help viable companies to sustain their economic recovery and to relaunch their business activity severely hit by the pandemic.
By using an intermediated approach for the new lending, the operation will leverage on UniCredit's strong franchise in the market and reach smaller size operations which can usually not be reached. It will scale up of the availability of competitively priced financing with customized conditions beyond the market.
EIB contribution is notable as it offers a guarantee for a subordinated (junior) tranche (novel product in the market). EIB/EIF also leveraged their status as supranational institutions and their AAA rating to provide the guarantee that is acceptable from a regulatory point of view. The EIB participation will have a positive signaling effect to the market and reduce risk perceptions.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).
General enquiries and comments
The EIB is committed to open communication and encourages constructive stakeholder input regarding its activities.
Enquiries and comments concerning the EIB’s involvement in a project or the financing facilities, activities, organisation and objectives of the EIB, can be sent to the EIB Infodesk.
Alternatively, the EIB can be contacted through its external offices.
Queries regarding details of a specific project, in particular when it is under appraisal by the EIB, should preferably be addressed directly to project promoters.
Media enquiries
Media-related enquiries can be addressed to the EIB Press Office. Please also visit our Media information section.
Complaints mechanism
Any complaint regarding alleged maladministration can be lodged via the EIB Complaints Mechanism. The European Ombudsman acts as an independent external accountability mechanism of the EIB.
Zero tolerance against fraud and corruption
The EIB has a zero tolerance policy on fraud or corruption. To report allegations of fraud and corruption relating to EIB-financed projects, please contact the Fraud and Investigation division. All complaints will be treated as strictly confidential and handled in line with the EIB investigation procedures and the Anti-Fraud Policy.
Related publications