Aldermore on track for £1.4bn target

Specialist lender Aldermore has revealed it is on track to achieve its £1.4 billion target of net new lending by the end of this year.

The alternative financier Aldermore Group PLC announced its Q1 results last Thursday, stating that its net lending to customers is up by seven per cent year on year and its organic loan origination has hit £568 million – a nine per cent surge from Q1 of 2014.

"It has been an exciting and busy quarter for the Group and our achievements to date give us confidence as we look forward to the rest of this year and beyond,” commented Phillip Monks, CEO of Aldermore.

"Organic origination continues to be strong and we granted new loans of £568 million in the first three months of 2015.

“Net lending to customers now exceeds £5.1 billion, of which £2.4 billion is to SMEs and £2.7 billion is to homeowners, demonstrating our ongoing support for these underserved customer groups.”

Phillip added that the lender remains on track to deliver its £1.4 billion target of growth in net lending for this year – which is expected to result in a full year growth rate of around 30 per cent.

SME deposits also showed a surge in growth, where it was up 10 per cent to £1.1 billion compared with 2014’s figure of £1 billion.

"Double digit growth in SME deposits provides continued funding diversification as lending remains primarily funded by our dynamic online savings franchise," Phillip noted.

Aldermore was admitted to the London Stock Exchange in March earlier this year, after scrapping its plans in last October, where it raised £75 million of gross primary equity.