Credit Enhancement
Credit enhancements are suitable for project developers or borrowers, who do not have the necessary credit rating, assets or equity capital to secure suitable financing from commercial banks and the mainstream capital markets.
Together with our financial partners and brokerage we can provide a solution to this problem. In select cases we are able to arrange for a credit enhancement or financial guarantee product to be underwritten and issued from a rated commercial bank, financial institution, government agencies or insurance company that can be used to secure repayment of financing.
The most common forms of credit enhancement loans are a standby letter of credit or bank guarantee; however, in some situations we utilize other forms to meet the needs and requirements of our clients which are more common in international transactions.
We prefer clients who have or can obtain a lending facility with their bank. We are then able to structure a specific type of credit enhancement service specifically for the interested lending bank’s requirements to ensure that we can secure the transaction to the bank’s complete satisfaction.
Additionally, we can organize both the Credit Enhancement Instrument and corresponding loan.
