UK specialist asset-based lender Ultimate Finance has increased its lending capacity through a £160m wholesale funding facility, the company said in a statement.
HSBC has joined Ultimate Finance’s working capital syndicate alongside an extension of its existing long-term relationships with Lloyds and NatWest.
The new facility increases Ultimate Finance’s growth capacity and has been secured “on the back of Ultimate Finance’s established track record of success and service quality in the invoice finance market,” the business said in a press release.
Neil McMyn, CFO at Ultimate Finance, said: “Combined with the backing of our shareholder Tavistock Group, this additional funding gives us a substantial balance sheet to continue providing working capital solutions to UK SMEs as the economy recovers.
“We’ve enjoyed a strong relationship with Lloyds and NatWest for many years and adding HSBC to our syndicate puts us in an enviable position in our market, to drive growth in our loan book.”
Simon Earnshaw, associate director of syndications at Lloyds, said: “Lloyds are extremely proud to act as an agent and lead on this facility and to be continuing our long-standing relationship with Ultimate Finance. We look forward to seeing this business continue to develop and grow over the next 3 years”.
Ultimate Finance said it provided over £30m of new funding to businesses in May, “with overall funds in use of over £270m for the first time since before the pandemic, with the utilisation of funding facilities by their clients a clear demonstration of lockdown easing having a positive impact on many parts of the economy.
“The new syndicate will enable Ultimate Finance to provide more funding to an increasing number of businesses,” the lender said in a statement.