British Business Bank

Asset finance lender secures £37.4m backing

The British Business Bank has agreed a new £37.4m funding facility with Shire Leasing to allow it to increase its asset finance lending to SMEs.

The ENABLE Funding programme facility will give the asset finance lender access to a £37.4m ‘warehouse’ line, while the British Business Bank’s commercial arm will provide £6.6m of mezzanine funding under its investment programme.

The facility will allow Shire to both grow and diversify its funding base and follows on from a £40m facility provided by the British Business Bank in late 2014.

“Our ENABLE Funding programme is an important part of our support to smaller finance providers as they look to scale up their provision,” said Keith Morgan, CEO of the British Business Bank.

“Helping Shire take the step up from reliance on block funding to being able to access the ENABLE Funding offer is a great example of how we are increasing both the amount and diversity of funding available to smaller businesses.”

Mark Picken, managing director of Shire Leasing, said the support it has received from the bank has helped it to achieve its strategy.

“Over the last three years, we have all learnt a great deal and I am pleased to say that both our team and theirs have come to trust and respect each other.

“Trust and respect are vital components for building the solid foundations that will lead to a prosperous future together as we continue to support and develop UK SMEs.”

George Passaris, head of securitisation at the European Investment Fund, added: “We are pleased to be participating as a guarantor in this innovative facility for Shire.

“The role of the European Investment Fund in the transaction will be instrumental in supporting Shire’s leasing activity and UK SMEs.”

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