New York-based alternative asset manager Apollo and its Bermudian-based subsidiary Athene have entered into a strategic relationship with BNP Paribas, the global bank, to provide a dynamic new solutions platform for working capital and supply chain needs with the establishment of Eliant Inventory Solutions LP.

Eliant provides domestic and multinational companies with strategic and responsive inventory capital solutions to better optimise their supply chains and balance sheets, and buffer inventories.

For companies, this can mean greater resiliency, fewer supply chain disruptions and more efficient working capital management.

Eliant is structured to own inventory at an efficient cost of capital, with a technology platform to seamlessly manage high-volume and complex customer needs.

The companies said Eliant launches with strong customer demand, marked by $1.3 billion in signed or awarded inventory programmes with blue-chip customers.

BNP Paribas, a leader in supply chain and trade finance solutions with longstanding expertise in the space, will provide debt and receivables financing as well as structuring advisory and referral services to Eliant.

Athene will serve as the primary capital provider to Eliant, while Apollo will act as the investment manager, supporting an in-house team at Eliant that is delivering customised supply chain inventory solutions to customers across industries and geographies.

Apollo partner Ephraim Rudman said: “Together with Athene, we have established Eliant to serve the growing market for flexible inventory and trade finance solutions, while helping our clients access high-quality, recurring asset origination.

“More and more companies are looking for economically efficient ways to strengthen their supply chains and bolster resiliency, while traditional financing sources have largely stopped originating these assets – creating a significant opportunity for us to engage as a solutions provider.

“We are excited to launch inventory solutions through our strategic relationship with BNP Paribas, which has a tremendous track record in trade finance, and together support Eliant’s growing team and capital needs.”

BNP Paribas’ head of trade & treasury solutions, Americas, Suresh Subramanian said: “The bank has established expertise in understanding the complete spectrum of supply chain financing solutions, including inventory.

“Supply chain resiliency and working capital efficiency are key concerns of corporates, and through this strategic relationship with Apollo, we reinforce our commitment to innovative solutions that enable clients to quickly adapt to the challenges of the real economy.”

The companies said Eliant will focus on critical and strategic inventory for high-quality, global customers, employing diligent underwriting that aligns with the investment philosophies of Apollo and Athene and adds to their portfolio of origination platforms spanning commercial and consumer lending.