Kuflink secures £35m debt facility from Paragon Bank
Kuflink has secured a £35m revolving credit facility placed by European Risk Capital with Paragon Bank.
The peer-to-peer property lender said that the new funding line will give it strategic access to institutional capital, scalable growth, new funding options, and a significant alternative source of debt finance.
“The new facility will take Kuflink to the next stage in the development of our growth plans and is particularly welcome as it ensures certainty of funding for our introducers and complements our existing, successful marketplace lending platform,” said Narinder Khattoare (pictured), chief executive of Kuflink.
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“This agreement is the culmination of a lot of hard work, not only from our team at Kuflink but especially at European Risk Capital and Paragon Bank and I would like to thank everyone involved for making it happen.”
Khattoare added that Kuflink remains committed to retail investors, and said that the Paragon funding line will not result in any changes to its existing business model.
The debt facility is initially worth £35m but is subject to increase and comes with a flexible three-year commitment renewable annually.
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“Paragon is delighted to further our support for innovative specialist lenders by providing Kuflink with a bespoke, structured solution,” said Jamie Pickering, director of structured lending at Paragon Bank.
“With a strong management team and a positive focus on the UK housing market, Kuflink is ideally placed to achieve their growth plans.
“I look forward to following Kuflink’s successful progress, and supporting the growth of other specialist lenders, in the years ahead.”
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