borro signs new funding deal with Octopus
Short-term lender signs new deal with Octopus over new funding line that will allow business to "meet the demand" for services.
Short term lender borro has partnered up with investment house Octopus Investments in a deal that the firm says will provide "significant" new funding for the firm and will substantially increase its lending capacity.
Octopus provides a range of funding solutions covering the entire capital structure of deals, from equity through subordinated debt to senior debt.
The news follows the recent announcement that Paradigm Mortgage Services has partnered with borro and would provide access for its members to the lender's introducer programme.
Paul Aitken, chief executive of borro, claimed the new funding line was an expression of the confidence that the market has in borro’s business.
He said "First and foremost this new relationship reinforces our ability and desire to fund new business in the short and medium term.
"We have already invested heavily in our capacity to attract and service new business thanks to our recent equity injection from Augmentum Capital.
"Our new facility with Octopus will now enable us to scale up our operation to meet the demand for our unique proposition."
Hugh Costello, investment manager at Octopus, added: "We were impressed by borro’s business model and its rigorous processes that have been intelligently devised and are diligently executed.
"borro provides an innovative financing solution for customers who are asset rich and in need of short term finance."