EIB Group synthetic securitisation will enable Erste Bank to lend up to €196m to small and mid-sized businesses in Austria.
The transaction is the first synthetic securitisation in Austria that falls under the European label for simple, transparent and standardised (STS) transactions.
The EIB Group — consisting of the European Investment Bank (EIB) and the European Investment Fund (EIF) — has provided Erste Bank der oesterreichischen Sparkassen AG (Erste Bank) with a guarantee for a €49m mezzanine tranche of a synthetic securitisation transaction. The transaction is expected to provide capital relief, as provided for by the EU Capital Requirements Regulation. It is the first synthetic securitisation transaction in Austria that qualifies as a simple, transparent and standardised (STS) transaction under the European Securitisation Regulation.
