As part of a coordinated campaign, Finastra has on-boarded Societe Generale, Natixis, and BNP Paribas on its Fusion LenderComm platform. With NatWest, which was the first bank to integrate with the platform, the ramp up indicates a move towards a different era of efficiency within the space.
“All of these banks were part of our Fusion LenderComm pilot and the momentum that the platform has seen since then is nothing short of extraordinary,” Grant Jones, VP, Fusion LenderComm, Finastra detailed, adding:
“This is an historic step that brings leading global banks together on the platform in the live Fusion LenderComm environment, for seamless and secure information exchange. But more than that, this is an important inflection point, paving the way for the whole industry to come on board, achieving even further critical mass.”
Built on R3’s Corda Enterprise, Fusion LenderComm “integrates directly into the overall technology stack at the banks.” It allows banks to share real-time accrual balances, credit agreement, and position information data with lenders, straight from agent bank loan servicing platforms like the Fusion Loan IQ of Finastra.
“We have been fully supportive of the Fusion LenderComm initiative since the beginning as it prompts the major players of this industry to work together and improve the service we offer to our borrower-clients in terms of quality, reducing delay and costs. With the creation of this community and a collaborative mindset, we have a unique opportunity to tackle the operational pain points we have all been experiencing for years and that constrain syndicated loan market expansion,” BNP Paribas Global Head of Corporate Banking Operations Philippe Boulas stated.
“Given Natixis’ high involvement in the lending space we have been very supportive of the Fusion LenderComm initiative since day one. R3’s Corda is the perfect technology to enable the sharing of information between agents and lenders on a need-to-know basis while being fully compliant with our stringent IT security policies. We praise Finastra for having committed to take this path and we are delighted to work with our peers and partners to make this initiative a success,” Natixis Head of Digital for Corporate & Investment Banking Frédéric Dalibard remarked.
According to Societe Generale’s COO of Global Banking & Investor Solutions Cécile Bartenieff, “the Fusion LenderComm initiative will help provide greater transparency and operational efficiency to the syndicated loan market for the benefit of all participants, including the pool of banking lenders and our borrower clients. This is an illustration of how blockchain can help banks optimize the entire flow of financial operations in a standardized and secured framework.”
“Fusion LenderComm is quickly becoming recognized as one of the most advanced and forward-looking solutions for the syndicated loan market,” R3 CEO David E. Rutter emphasized.
“There are exciting times ahead for the platform as more banks join at an accelerating pace. R3 is proud to facilitate the use of blockchain technology to provide lenders with access to many aspects of their positions in real-time. This brings a significant increase in transparency and convenience during the entire portfolio lifecycle. Having been involved since day one, I am certain Fusion LenderComm will lead to dramatic improvements in the syndicated lending market,” Rutter concluded.