CPP Investments Announces Strategic Partnership with Element Fleet Management

TORONTO, ON, June 26, 2026 /CNW/ - Canada Pension Plan Investment Board (CPP Investments) today announced a strategic relationship with Element Fleet Management Corp. (Element), a global leader in fleet management and intelligent mobility solutions, to support the company's funding strategy and enable the company to better serve clients and grow its business.

The strategic relationship includes a three-year commitment from subsidiaries of CPPIB Credit Investments Inc., and affiliates of Blackstone Credit & Insurance, to purchase equity residuals in Element's Chesapeake IV program, which issues asset-backed security (ABS) note offerings backed by a portfolio of U.S. fleet lease receivables. CPP Investments has committed US$88 million for the term of the relationship with Toronto-based Element, the largest publicly traded pure play automotive fleet manager in the world.

The first transaction was completed on June 25, 2026, concurrent with the closing of a US$670 million ABS note offering from the Chesapeake IV program. The transaction provides Element additional off-balance sheet funding, reduces leverage and diversifies the company's funding sources.

"We are pleased to support a leading Canadian business by providing an innovative funding solution to help Element serve clients and grow their business globally," said Paras Vira, Managing Director, Americas Structured Credit, CPP Investments. "By combining our flexible capital approach with Element's market leadership, we are well positioned to support the company's next phase of growth while contributing to the long-term returns of the CPP Fund."

"We are pleased to establish this strategic relationship with CPP Investments and Blackstone, two highly respected global investors," said Heath Valkenburg, EVP and Chief Financial Officer at Element. "Their commitment reflects confidence in the strength of our platform, the quality of our lease portfolio, and our ability to deliver long-term value for clients and shareholders."

About CPP Investments
Canada Pension Plan Investment Board (CPP Investments™) is a professional investment management organization that manages the Canada Pension Plan Fund in the best interests of the more than 22 million contributors and beneficiaries. In order to build diversified portfolios of assets, we make investments around the world in public equities, private equities, real estate, infrastructure and fixed income. Headquartered in Toronto, with offices in Hong Kong, London, Mumbai, New York City, São Paulo and Sydney, CPP Investments is governed and managed independently of the Canada Pension Plan and at arm's length from governments. At March 31, 2026, the Fund totalled $793.3 billion. For more information, please visit www.cppinvestments.com or follow us on LinkedIn, Instagram or on X @CPPInvestments.

About Element Fleet Management
Element Fleet Management (TSX: EFN) is the largest publicly traded pure play automotive fleet manager in the world and a global leader in intelligent fleet and mobility solutions. Guided by our Purpose to Move the world through intelligent mobility, we help clients manage the vehicles, data, technology, and decisions that keep their businesses moving. Fleet is our foundation, and intelligent mobility is how we lead. By combining deep fleet expertise with connected technologies, data driven intelligence, and strategic partnerships, Element helps clients lower total cost of ownership, improve uptime and driver experience, and build more resilient operations. Element manages over 1.5 million vehicles globally and leverages this scale and data to help clients optimize performance, identifying over $1.6 billion in cost savings opportunities across our clients' fleets in the past year. Through Element Mobility, we are advancing our leadership into the next era of intelligent mobility to deliver measurable business outcomes for our clients. For more information, visit: https://www.elementfleet.com.

SOURCE Canada Pension Plan Investment Board

For more information: Frank Switzer, Public Affairs & Communications, T: [phone], [email protected]; Element : Sumit Malhotra, SVP & Head of Financial Performance, [phone], [email protected]