Time Finance - Latest Issue
We are pleased to announce the successful completion of a £2 million note issuance under the Time Finance plc (formerly 1pm plc) MTN programme.
LGB Capital Markets first established a £7.5m MTN programme for Time Finance in 2017; this was subsequently increased to £25m in November 2019 (click here to read more about the 2019 limit increase). The MTN programme has provided the Company with a vital source of diversified and flexible funding. Funds raised under the MTN programme will continue to be used primarily to meet the demand for loan finance from Time Finance's SME customer base as they seek to navigate the proposed exit from lockdown.
The latest £2m note issue exceeded the target raise amount and demonstrates the strength of the investment proposition – particularly given the robust performance of the business since the outbreak of the pandemic. A significant proportion of the £2m was made up from existing investors looking to “top-up” their investment in the business. This is not uncommon with MTN programmes that build up a following of investors seeking to reinvest funds and is especially evident when notes are amortising such as with Time Finance. Regular conference calls are also arranged for management to update noteholders on developments within the business. This builds confidence and enables noteholders to remain engaged post-investment.
The process from the initial conversation with Time Finance regarding a new note issuance to completion was exactly three weeks with minimal input required from the management team.
“We are very pleased to have raised over £2m from our latest series of notes under our £25m MTN. The programme, arranged by LGB, has provided us with a regular, diversified and flexible source of capital over the years and is primarily used to help fund our SME loans division. From starting our initial discussions with LGB the process was incredibly swift with the funding in place within just a few weeks.”
– James Roberts, CFO, Time Finance
More information on our MTN Programmes can be found here.