Assetz Capital announces £1m target for latest fundraise initiative
Finance provider Assetz Capital has launched a new fundraising round to boost its coronavirus lending portfolio.
The Manchester-based peer-to-peer marketplace lender is working with Seedrs to raise a minimum of £500,000 and plans to secure matched funding from the Government’s new Future Fund to support its next phase of growth.
Assetz Capital, which was accredited as a lender under the Government’s Coronavirus Business Interruption Loan Scheme (CBILS) in May 2020, will use the capital to supercharge its CBILs delivery.
It will also use the funds to support the company’s non-CBILS lending and grow the company’s headcount, from 120.
At some point after the minimum of £500,000 has been raised on the Seedrs platform, Assetz Capital will apply for an additional value of matched funding from the Government’s Future Fund.
The Future Fund, which was launched during the coronavirus outbreak to support innovative and high-growth British businesses, enables companies to apply for a convertible loan of between £125,000 and £5m.
To be eligible for the fund, firms must have raised at least £250,000 in equity investment from third parties in the past five years.
They must also have secured private investment that will be matched by the Government.
This is the fourth Seedrs fundraise from Assetz Capital, with the company now valued at £60m.
Stuart Law, Assetz Capital chief executive, said: “This fundraising round is a great opportunity for our existing shareholders, customers and other individuals to invest alongside the Government and support the economy as we deliver CBILS and enter the next phase of our growth.
“Having secured accreditation as a CBILS lender in May, we have attracted the attention of leading institutional investors that are looking to work with us to deploy hundreds of millions under the CBILS scheme and beyond.
“This fundraising round, coupled with matched funding from the Government, will help further support our growth through this current economic situation and help turn a global crisis into an opportunity.
“We look forward to welcoming new investors as well as existing investors into this funding round, as they support us on this journey.”