Business
£35m Funding Facility with British Business Bank
£35m Funding Facility with British Business Bank.
About this update from Time Finance Plc
[{"type":"text","content":"\n \nRNS Number : 0316J 1PM PLC 27 March 2018 \n\n27 March 2018 \n \n1pm plc\n(the \"Group\" or the \"Company\")\n \nFACILITY AGREED WITH THE BRITISH BUSINESS BANK TO PROVIDE £35m OF ADDITIONAL FUNDING\n \n· Facility to be deployed through the Group's subsidiary entity, Bradgate Business Finance Limited (\"Bradgate\"), to satisfy growing demand for 'hard asset' leasing\n \n· Significant reduction in the Group's blended cost of borrowing \nexpected over the life of the facility\n \n1pm plc, the AIM listed independent specialist provider of finance facilities to the SME sector is pleased to announce that it has signed an asset finance facility (the \"Facility\") with the British Business Bank (\"BBB\") under BBB's ENABLE Funding programme that will provide £35m of additional funding. The Facility will enable the Group to significantly expand its asset finance lending to businesses across the UK SME sector, primarily for those seeking \"hard asset\" finance (equipment with robust residual values after a period of use). The new facility increases the total funding facilities available to the Group to in excess of £155 million.\n \nThe Group continues to experience strong demand for asset finance including 'hard assets' the funding for which is provided through its Bradgate subsidiary. The deployment of this Facility will enable Bradgate to increase the amount and diversify the range of lending for business-critical equipment used by SME businesses while resolutely maintaining its strict underwriting criteria. \n \nDeploying funds over the life of the Facility will enable the Group to significantly reduce its blended borrowing cost thus delivering one of management's key operational objectives to increase the Net Interest Margin from the Group's lending activities.\n \nJames Roberts, Chief Financial Officer, commented: \n \n\"1pm is delighted to be working with the British Business Bank to facilitate furth...