Green bond securitization funds identified sustainable projects through notes issued from ring-fenced compartments. MTCM structures each project in its own compartment of one of its six Luxembourg SPVs, with its own ISIN, so a single programme can fund several projects without any of them being exposed to the others.
Funding sustainable projects one by one is slow, and funding them together blurs which project an investor is actually backing. MTCM builds the programme so that every project has a ring-fenced compartment to itself, with an ISIN and terms of its own. New projects are added as new compartments under the same programme documentation, rather than requiring a new structure each time. Each compartment is bankruptcy remote and off-balance sheet, so a difficulty in one project stays inside the compartment that funds it. GSK Stockmann advises the platform on legal matters. Audit duties sit with PwC and Atwell.
Held in custody, transferred or listed like any other security.
Segregated by law from every other transaction on the platform.
Protection runs in both directions.
The exposure leaves the originator’s balance sheet.
Photovoltaic plants at development, construction or operating stage.
Onshore and offshore wind projects with contracted or merchant output.
Small and large-scale hydro assets with long operating lives.
Exploration and development of geothermal generation capacity.
Biomass and biofuel facilities converting organic inputs into energy.
Battery and other storage systems supporting grid reliability.
Smart grid and transmission infrastructure enabling renewable integration.
Building and industrial efficiency programmes with measurable savings.
Charging networks and low-emission transport assets.
Water treatment, recycling and resource recovery facilities.
Green bond securitization funds identified sustainable projects through notes issued from ring-fenced compartments of a Luxembourg SPV. Each project sits in its own compartment with its own ISIN, so one programme can fund several projects without any of them being exposed to the others.
The programme documentation is drafted once and sets the common terms. Each project then opens as its own compartment under that documentation, with its own final terms and ISIN. Adding a project means opening a compartment, not building a new structure.
No. A fund gathers capital and issues units under a discretionary mandate. This is a securitization programme: each compartment holds an identified project and issues notes under the Luxembourg Securitization Law of 22 March 2004. There is no blind commitment and no discretionary manager.
Nothing crosses between compartments. Each compartment is ring-fenced by law, so a difficulty in one project affects the noteholders of that compartment and no others.
Yes. The compartment is Luxembourg-based; the project does not have to be. What matters is that the project can be identified, that the eligibility criteria are met, and that the arrangements are workable under the relevant local law.
The eligibility criteria are set when the programme is documented, and independent verification is carried out by the party appointed for that purpose. MTCM structures and administers the compartment; it does not certify the project’s sustainability itself.
80+ active compartments · €2.5 bn+ assets structured. Indicative platform figures.