Assured Guaranty Municipal Corp and Assured Guaranty (Europe) (AGE), financial guarantor subsidiaries of Bermuda-based Assured Guaranty, have entered an exclusive co-operation agreement with the Australian independent arranger and advisor, DTW Capital Solutions.
DTW has agreed to act as exclusive origination consultant to Assured Guaranty for the provision of Assured Guaranty financial guarantees for infrastructure finance and structured finance transactions with underlying assets or collateral located in Australia or New Zealand.
DTW will facilitate the introduction of prospective issuers to Assured Guaranty and other market participants undertaking transactions where financial guarantees could be beneficial.
DTW delivers tailored financing solutions to its clients focused on the Australasian borrower market in the infrastructure, commercial real estate, higher education and selected sectors of the consumer finance and corporate markets. It has a specific focus on raising private sector debt capital from such financial institutions as investment funds, pension plans, insurance companies and banks.
Assured Guaranty, a provider of financial guaranty insurance, collaborated with DTW in 2018 on a wrapped A$100 million bond issuance for the Port of Brisbane. That transaction had marked Assured Guaranty’s re-entry into the Australasian market, following a prolonged absence triggered by the global financial crisis in 2008.
Nick Proud, senior managing director of AGE’s international operations, said: “We believe we can expand the use of Assured Guaranty credit enhancement to a wide variety of transactions in Australia and New Zealand. Having a partner with recognised business success operating in the same time zone as potential clients should facilitate transactions and open more opportunities for Assured Guaranty.”
Chris Weeks, principal of DTW, pointed to “a significant need for long-term financing” in the region, adding: “We believe Assured Guaranty’s financial strength, underwriting acumen and global market experience, including in Australia, make its financial guarantee product extremely attractive to both issuers and investors in the public infrastructure, public-private partnership and structured finance markets.”
Assured Guaranty, Assured Guaranty Municipal Corp, Assured Guaranty (Europe), DTW Capital Solutions, Nick Proud, Chris Weeks