Nov 20 (Reuters) - Oil trader Trafigura on Monday said it launched Trafigura Commodities Funding Pte Ltd (TCF), a non-recourse funding programme for the securitisation market.
The programme, backed by inventories of crude oil and refined metals, is a stand-alone vehicle incorporated in Singapore.
TCF issued $470 million of senior variable funding notes which were placed on a private basis with six financial institutions, Trafigura said.
The proceeds, as well as a subordinated loan from Trafigura, will enable TCF to purchase crude oil and refined metal inventories sold by Trafigura across 12 jurisdictions, the company added.
“This platform enables Trafigura to become a systematic issuer of notes backed by commodity inventories and ultimately to seek committed term financing in the asset backed securities markets,” Laurent Christophe, Trafigura’s head of corporate finance, said in a statement.
Reporting by Sangameswaran S in Bengaluru; editing by Jason Neely