Deal Highlight: Tenet
Location: Statewide
This past year, NY Green Bank provided a $10 million revolving credit facility to Tenet, an innovative EV-only auto loan platform. Tenet’s underwriting model accounts for the incentives, lower operating costs, and value retention that are unique to EVs. They are thus able to offer EV owners more flexible terms, often resulting in lower monthly payments than they would pay for a conventional auto loan.
By aggregating and lending against the loans Tenet makes to New York drivers, NY Green Bank provides Tenet with liquidity so that they can continue recycling their capital into new loans for EV purchases in New York State. Beyond the funds deployed by NY Green Bank directly, our transaction is mobilizing additional sources of capital into Tenet’s work. For example, investors that specialize in larger-scale loan purchases are attracted to buy pools of Tenet’s loans once they have been aggregated in NY Green Bank’s revolving warehouse facility. Additionally, our transaction structure provides a template that Tenet is now replicating with private sector lenders to support their lending activity outside of New York State.
"The support from NY Green Bank is a great first step in utilizing innovative ESG capital market opportunities to increase the affordability of zero-emission vehicles. We are excited to support each other and further incentivize New Yorkers to adopt zero-emission technologies and continue to make EV ownership a smarter financial decision."
