Cheshire-based lender Savvy.co.uk set for £5m private investment boost

North West finance company Valour Group (UK) Plc is seeking to raise as much as £5m from private investors with the launch of a mini-bond.

Cash raised through The Valour Group Bond, which offers an annual interest rate of 8.49%, will be used to grow the loan book of the Wilmslow-based firm’s digital lending subsidiary, Savvy.co.uk.

Mark Bowker, the CEO Valour Group, said: “As a company we have zero external debt and have delivered a healthy 17% pre-tax profit margin so this is the ideal time for us to take on some external debt to enable our online lender Savvy.co.uk to grow further.

“Savvy.co.uk has been trading for several years and we believe in creating ‘Win-Win’ relationships.”

He added: “This is why we are offering 8.49% per annum to private investors rather than to a single large institution.”

Speaking further, Mark said Valour has developed “robust systems for credit-checking, fraud prevention and responsible lending” – an approach he said is reflected in Savvy’s “low arrears and delinquency rates”.

He continued: “We now want to increase the value of our loan book with investment in the Valour Group Bond.”

The Valour Group Bond will launch today (September 26) and close on February 28 next year.

Investors can invest as little as £1,000. Interest will be paid every six months across the four-year term, after which investors will receive their initial funds.

Valour Group reported a turnover of £8.5m in 2015, alongside a profit of £1.7m before tax.

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