20th Jul 2018 10:15
LONDON (Alliance News) - GLI Finance Ltd said on Friday that subsidiary Sancus BMS Group Ltd is to raise an initial GBP5.9 million through the issue of a new loan note.
Sancus has launched a new vehicle, Sancus Loan Note 4, with a 15-month lifespan. It is to raise GBP5.9 million initially and then draw further funds over the next three months for a maximum total of GBP15 million.
The funds in the vehicle, GLI said, will be deployed into loans which will be arranged by Sancus.
Investors will be paid interest monthly at an annualised rate of 6%, and Sancus is also to assume a 20% first-loss position.
GLI and Sancus Chief Executive Andy Whelan said: "I am delighted to confirm the launch of this fourth special purpose vehicle. Sancus is committed to ensuring it has numerous sources of funding available to meet its growing loan origination/book and the loan notes are complimentary to its existing co-funder network and its GBP50 million credit facility from Honeycomb Investment Trust.
"It is particularly pleasing to see the continuing interest from the market to participate in these loan notes, and through this mechanism, in the loans arranged by Sancus."
Shares in GLI were untraded on Friday, last quoted at 8.51 pence each.
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