Powered by MOMENTUM MEDIA
the adviser logo
Lender

Plenti secures debt facility

by Reporter4 minute read

The non-bank lender has entered into a corporate debt facility agreement, with plans to grow its business.

Plenti’s new facility from an unspecified Australian funder has been linked to the size of its securitised loan portfolio and is expected to grow in line with its loan book.

The facility will initially be drawn to $18 million.

Funding from the facility will be primarily directed to supporting growth in Plenti’s warehouse and ABS funding structures.

Advertisement
Advertisement

Daniel Foggo, chief executive of Plenti commented the facility will provide a “cost-effective, flexible and non-dilutive solution to funding” the group’s loan portfolio growth.

“Consistent with Plenti’s general approach, this facility has been [structured] in an innovative way and provides us with much greater flexibility than more traditional corporate debt funding structures,” Mr Foggo said.

“With this funding facility in place and Plenti having reached monthly cash NPAT [net profit after tax] profitability, we are better placed than ever to pursue the growth opportunities in front of us and to achieve our medium-target of reaching a $5 billion loan book.”

Plenti has previously flagged that it has ambitions to hit a $5 billion loan book in the next few years, with brokers to play a key role.

The group has invested heavily in its technology and data capabilities, with the aim of slimming down turnarounds.

Plenti’s loan book ended 2021 at $1.1 billion, 118 per cent higher than a year earlier and 21 per cent above the September quarter.

The lender also established a $250 million automotive warehouse facility in December, with Westpac as senior debt funder and the Clean Energy Finance Corporation providing mezzanine finance.

[Related: Plenti chips away at turnarounds in quest to $5bn]

plenti ceo daniel foggo   headshot

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

PhilipLowe mb

RBA attempts to curb runaway inflation

On Tuesday (5 July) the Reserve Bank of Australia (RBA) announced at its monetary policy meeting it will increase the...

READ MORE
flood qld suburbs ta

Home loan support offered to NSW flood victims

Widespread persistent heavy rain over large swathes of NSW over the weekend and into Monday (4 July) has caused major...

READ MORE
Dr Jane Rennie CPA

Accountants to decline ‘capacity to repay’ requests

The leaders of CPA Australia, the Institute of Public Accountants (IPA), and the Chartered Accountants Australia and...

READ MORE
magazine
Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more