The asset-backed lender lands further investment to boost small business lending.
Asset-backed lender Praetura Commercial Finance has secured up to £10m from investment manager RM Funds, allowing it to boost lending to small businesses.
The listed investment manager said it will initially invest £2m in Blackburn-based Praetura, along with a flexible funding line of up to £10m. The cash will be provided as a five-year loan note.
Praetura, founded in 2013, lends to small and medium sized firms against such assets as invoices, stock, machinery and palnts.
RM Funds, launched in 2010, is a specialist in alternative fund manager, with interests in foreign exchange, capital markets and advisory services. The business, which has offices in Edinburgh and London, said it has carried out transactions of over £50bn of bonds and loans since it was founded.
Praetura Commercial Finance managing director Lisa Wood said: “The funding announced today will play a crucial role in our ability to grow our business further through an unwavering client relationship approach, increase our portfolio of loans and continue to provide transformational funding to our clients, enabling them to achieve their ambitions.”
This is the fourth transaction RM funds has carried out with Praetura Commercial Finance and its private equity parent, Praetura Group.