Lender launches £20m fundraise aimed at expanding NW firms

Tower Grange Finance, the lender based in Formby, north Liverpool, has announced a £20m fund raise for investment in expanding North West companies.

The first phase of the fund will see £5m of loan notes issued to new and existing investors with an eight per cent annual return repayable in 2025.

The money will be used to support its portfolio of active property developers and house builders.

TGF joint chief executive, Stephen Sullivan, said: “Our investors have backed a number of high growth businesses in the last four years and their appetite for further opportunities and client companies’ expansion ambitions has prompted this latest issue.

“A number of new investment opportunities have been brought to us by our network of introducers and, having passed our stringent due diligence process, are now investment-ready.

“Whilst many of our investors are high net worth individuals, our loan notes and other products are increasingly popular with retail investors, either directly or via their IFAs.”

Stephen Sullivan

The company, which specialises in providing development finance and secured loans, has supported the growth of numerous regional businesses, including Liverpool housebuilder Hassett Homes, in which it has a significant shareholding.

Mr Sullivan added: “The North West economy is diverse and robust and has ridden out the challenges of the last two years in remarkable shape.

“Our clients are gearing up to meet the new opportunities ahead and we aim to be their first source of working capital and development finance.”