Intesa Offloads Credit Risk of US and ESG Loans With SRT Deals

Intesa Sanpaolo SpA is finalizing the issuance of two significant risk transfers tied to portfolios amounting to the equivalent of about $4.1 billion of corporate loans, according to people familiar with the matter.

The Milan-based bank is wrapping up a SRT transaction tied to a portfolio of about $2.4 billion of US corporate loans, said the people who asked not to be identified because the matter is private. Intesa is also closing a deal offloading part of the credit risk in about €1.5 billion ($1.7 billion) of environmental, social and governance-labeled loans, the people said.

SRTs allow banks to insure ...