loan.co.uk

Loan.co.uk and West One complete £1m bridging loan to support a client's IPO




Loan.co.uk has secured a £1m bridging loan from West One within four weeks for a pharmaceutical business entrepreneur.

The client required the funds to provide his business with a cash injection to assist with an imminent IPO.

As the IPO could not be used as a security for the bridging facility, Loan.co.uk arranged to instead secure the loan against the borrower’s main residence and one of his three other properties he owned.

In the end, West One was able to provide the bridging facility at a rate of 0.85% over a 12-month term.

The loan also allowed the client to refinance his existing second-charge debt, which was previously used for home improvements.

Kamal Panchal, head of bridging and development finance at Loan.co.uk, said: “We always put the client first and thanks to our AI platform and great relationship with lenders, we know to delve deeper into people’s situations because in many cases, we can help – even if they are highly complicated or require specialist lending.

“The client had been searching for a financial solution for more than two months without success, so when he came to us, he was frustrated and time was extremely short.

“It was instantly apparent that this loan was extremely important both for him and his business, so we took the proposition to West One, which specialises in deals of this complexity and was clearly the most cost effective in the way we were structuring the deal.

“The lender was extremely helpful in assisting us to meet tight deadlines.”

Nick Jones, sales director at West One, added: “This case is a prime example of thinking outside the box and emphasises the importance of close relationship between lenders and brokers.  

“It just goes to show how far the uses of short-term finance has diversified over the years.

“We were very pleased that our team, including experienced expert underwriters, were able to help put together this complex package, which was a vital element to enable an important IPO.”

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