The Debt Unit originates and participates in debt products and solutions in South Africa and the rest of Africa, including the activities below.

 

Origination, Structuring and Placement of Debt:

Originating, participating in and structuring debt products (including corporate lending, Black Economic Empowerment funding, preference share investments and other hybrid debt) for placement within the Sanlam group, the market, and on the SCM balance sheet in the form of lending, guarantees and underwriting of debt transactions. Debt will focus on private placements/unlisted debt that are tailor-made for investment by the Sanlam Group. Debt will seek to match the investment requirements of the Sanlam Group with the borrowing requirements of corporates and other entities. 

 

Acquisition of Debt and Lending of Funds:

Lending to corporates, parastatals and other entities and participating in structured transactions via the use of the SCM balance sheet.

 

Financial Debt Advisory Services:

Providing debt advisory services and financial engineering capabilities to the Sanlam group and the market on a selective basis.

 

Management and Servicing Administration:

In certain strategic instances, acting as the administrator and manager of securitisation vehicles and fulfilling roles such as a calculation agent.

 

Credit Derivatives

Providing credit insurance to counter parties and utilising credit derivatives to repackage and distribute debt products to the Sanlam group and the market.

 

Regulatory Structuring

Exploiting regulatory structuring and planning opportunities within the Sanlam group and the market.

 

Types of instruments available include:

• Term funding (vanilla and structured loans)
• Syndicated and club loans
• Empowerment funding
• Commercial paper
• Bonds
• Preference shares
• Securitisation

• Structured finance

• Asset backed finance (security would include property, movable assets, equity, etc)

• Project finance
• Mezzanine/subordinated finance
• Equity-linked hybrid instruments
• Credit Derivatives
• Equity (where strategic to debt opportunities or as part of an enhanced return on debt products).

 

Other services provided include:

• Credit rating facilitation

• Administration facilitation
• Legal facilitation
• Regulatory and accounting facilitation
• Underwriting
• Distribution and
• Market advice