Propifi uses bonds as one of its funding streams to fill its growing lending pipeline of over £100m.
The new, A-rated, five-year bond is a debt instrument that offers investors a fixed return of 8.1% pa, paid quarterly.
It is asset-backed, with investors having first legal charge over the assets, which are UK property or land and held in a secure trust structure.
The bond programme is approved by, and listed on, the Frankfurt Stock Exchange (Börse Frankfurt) for the issue of £5bn secured, electronically traded corporate bonds with an investment grade A credit rating.
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It aims to raise funds through bond issuances to make first-charge secured bridging loans to UK commercial property developers, with a particular focus on UK housing associations.
Euan McAlpine, chairman at Propifi (pictured above), said: “The world is now restarting and this is being led by the construction industry, especially in the realm of social housing where demand has really grown; this has resulted in a massive pipeline of interest from would-be borrowers.
“Our bonds help kickstart these vital projects, and the addition of a euro series is a result of interest and enquiries from European investors wanting to get involved.”
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