CPP Investments Announces Strategic Partnership with Element Fleet Management

About this update from Element Fleet Management Corporation

TORONTO, ON, June 26, 2026 /CNW/ - Canada Pension Plan Investment Board (CPP Investments) today announced a strategic relationship with Element Fleet Management Corp. (Element), a global leader in fleet management and intelligent mobility solutions, to support the company's funding strategy and enable the company to better serve clients and grow its business. The strategic relationship includes a three-year commitment from subsidiaries of CPPIB Credit Investments Inc., and affiliates of Blackstone Credit & Insurance, to purchase equity residuals in Element's Chesapeake IV program, which issues asset-backed security (ABS) note offerings backed by a portfolio of U.S. fleet lease receivables. CPP Investments has committed US$88 million for the term of the relationship with Toronto-based Element, the largest publicly traded pure play automotive fleet manager in the world. The first transaction was completed on June 25, 2026, concurrent with the closing of a US$670 million ABS note offering from the Chesapeake IV program. The transaction provides Element additional off-balance sheet funding, reduces leverage and diversifies the company's funding sources. "We are pleased to support a leading Canadian business by providing an innovative funding solution to help Element serve clients and grow their business globally," said Paras Vira, Managing Director, Americas Structured Credit, CPP Investments. "By combining our flexible capital approach with Element's market leadership, we are well positioned to support the company's next phase of growth while contributing to the long-term returns of the CPP Fund." "We are pleased to establish this strategic relationship with CPP Investments and Blackstone, two highly respected global investors," said Heath Valkenburg, EVP and Chief Financial Officer at Element. "Their commitment reflects confidence in the strength of our platform, the quality of our lease portfolio, and our ability to deliver long-term value for clients and shareholders." About CPP InvestmentsCanada Pension Plan Investment Board (CPP Investments™) is a professional investment management organization that manages the Canada Pension Plan Fund in the best interests of the more than 22 million contributors and beneficiaries. In order to build diversified portfolios of assets, we make investments around the world in public equities, private equities, real est...

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