Friday Nov 15, 2024
Friday Nov 15, 2024
Thursday, 19 July 2012 00:00 - - {{hitsCtrl.values.hits}}
Multi Finance PLC (MF PLC), a fast-growing Central Bank-licensed finance company and a listed company on the Colombo Stock Exchange, has announced its first successful private offering of an asset-backed securities issue of Rs. 350 million.
The core objective of this issue was to finance its new lease and hire purchase portfolio as part of MF PLC’s growth strategy. MF PLC firmly believes that this process provides effective medium term funding which in turn allows for very attractive medium term return for investors.
This transaction was arranged by Investrust Capital Ltd. (formerly known as Investec Capital Private Limited), a boutique investment banking institution and a provider of integrated capital markets and strategic corporate services. Seylan Bank PLC has been appointed as trustee to manage the trust.
MF PLC Group Executive Director/CEO A.H.M. Riyaz said: “We are pleased that, together with Investrust Capital and Seylan Bank we are able to access alternative sources of capital market funding. This issue is not only increases the amount of capital available for disbursement, but it is an important indicator of the strength of our assets and the durability of our business model. Our continuing ability to access low cost capital in the public and institutional markets gives us considerable competitive advantage to build shareholder value.”
MF PLC, which became a member of the Entrust Group in 2008, is a Central Bank Licensed finance company under the Finance Business Act No 42 of 2011. MF PLC having over 38 years of experience in the finance industry engages in deposit mobilisation, leasing and hire purchase of motor vehicles, pawning and also providing other loans. The company obtained its official listing on the Diri Savi Board of the Colombo Stock Exchange in 2011.
The company made its visible presence in selected markets and it operates a wide branch network around the country to gain access to the potential market opportunities in different regions. The company has proven its ability to leverage its resources towards achieving sustainable development in this fast changing business environment as well as to realign resources for diversification into economically sound compatible business opportunities.
One of the main objectives of MF PLC is to accelerate its deposit base and lending base in its frontier markets and scaling innovation will be essential in transforming MF PLC into a higher growth phase.
