We are pleased to announce the establishment of a £10 million secured medium term note (“MTN”) programme for alternative finance business Admiral Leasing & Loans (“Admiral”) incorporated as Universal Leasing Ltd.
Admiral is an independent asset finance specialist, principally offering finance products to UK SMEs to fund the acquisition of business-critical equipment and free up working capital. The company was formed in 2005 by its existing management team following extensive careers in the soft and hard asset leasing sector, including several senior roles in the asset leasing divisions of large financial institutions.
Admiral’s route to market is principally from equipment suppliers or from external finance brokers. Its core values are Agile, Adaptable and Adept, which ensures all credit proposals are assessed on merit by a manual underwriter to provide decisions in the best possible turnaround times.
LGB Capital Markets completed a £1.5 million first issue of notes in conjunction with the establishment of the MTN programme in October. The programme will provide funding subordinated to Admiral’s senior funders to enable the company to further expand its own book following a period of growth since pandemic restrictions eased. It is expected that the funding will enable the company to grow its gross receivables portfolio towards £40m by its December year end.
Michael Hughes, Managing Director, Admiral Leasing & Loans, said: “We are delighted to have worked with LGB on this MTN programme, which will be pivotal in the future growth of Admiral Leasing and Loans over the next few years. The programme will enable us to expand our own book lending capabilities to SMEs and to support our suppliers and brokers with increased lending capacity to take our gross receivables towards £50m. We would like to thank LGB for their very professional and pragmatic approach, using their deep knowledge of our industry as well as our block funding panel.”
Despite the current market backdrop, the first issue was oversubscribed. Investors were impressed by the experience of Admiral’s management team and the company’s robust processes and prudent approach to credit underwriting, and the company looks forward to engaging with new investors through regular note issuance.
Admiral’s new programme now brings the total value of programmes arranged by LGB to £310 million. More information on our MTN programmes can be found here.
