Assetz and Aros Kapital funding partnership set to hit £1bn
Assetz Capital has secured an extra £750m of funding for its loans from Nordic financing provider Aros Kapital.
The peer-to-peer business lender had already received funding commitments worth £350m from Aros Kapital in 2020 to support its involvement in the coronavirus business interruption loan scheme (CBILS).
In light of Russia’s invasion of Ukraine and the humanitarian crisis unfolding in the region, the businesses have also committed to make donations to relief organisations out of the profits from their continuing partnership.
“We’re thrilled to extend our relationship with a long-term partner that matches our passion for supporting small – and medium-sized enterprises (SME) through provision of innovative finance solutions,” Stuart Law (pictured,) chief executive of the Assetz group, said.
“Like us, Aros is keen to be at the forefront of providing financing for businesses seeking to address important challenges, including encouraging the use of modern methods of construction for housebuilding to ensure improved environmental sustainability and meet broader market needs.
“We believe this relationship will be instrumental in ramping up our funding lines and meeting our objective of funding a quarter of all SME new-builds over the long term.”
Read more: Assetz Capital lends £370m through CBILS
The £750m will be provided over the next three years and it takes the total funding from Aros Kapital for Assetz loans to £1bn.
“We are delighted to be extending our relationship with Assetz Capital following the success we have had over the last two years, providing hundreds of millions of pounds worth of funding for UK SMEs through CBILS,” Gustav Rocklinger, chief executive at Aros Kapital Limited, said.
“We see this as a long-term partnership based on a mutual desire to support SME growth in the UK and promote innovation in key sectors such as housebuilding and are excited to see what we’re able to achieve together going forward.”
Read more: Assetz Capital hires director of lending operations