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Proposal

Collateral Transfer Facility – Collateral Injection to Guarantee Gold purchases: Export / Import.

• Brief : To obtain collateral that would Guarantee the clients’ suppliers for the payment of Gold export from Brazil to Canada.
• Total Facility Requirement : € 31 million

Facility Obtained

European based Provider Group

• Facility Secured : Collateral Transfer Facility of € 31 million & the issuance of Standby Letter of Credit
• Annual Contract Fee : 5.25%
• Term : 12 months / 1 year
• Deposit against Contract Fee : € 310’000

A Canadian based trading company (holding licensed subsidiaries in Dubai) was successful in entering into a Gold Supply contract with several mining consortiums in Bolivia and Brazil. Our client would purchase the commodity and export it from South America to the UAE where it would be sold on pre-arranged sales contracts.

The commodity was sold to our client as Gold Doré bars (approximately 95% pure) and despatched to a well-known and trusted gold depository in Brazil, in readiness for export. Our client was required to place several payment guarantees with his suppliers, as well as a Standby Letter of Credit (SBLC) to guarantee future shipments and the underlying supply contract. Once those Guarantees were in-situ, our client would export the commodity to his utilities inside the UAE where it would be smelted and sold as Bullion.

IntaCapital Swiss were successful in assisting our clients negotiate the terms of their gold supply agreements (and indeed their gold sales agreements in the UAE) and the terms of shipment to co-ordinate with the funding of the guarantees required and the security used for raising the Standby Letter of Credit, underpinning their master supply contracts.

Stemming from our in-depth assistance and on-going support, our client now enjoys long-term relationships with his gold suppliers, buyers, his secure logistics firm and his funders, who continue to service his requirements on a revolving basis.

Proposal

Collateral Transfer Facility – Collateral Injection with Loan Advance included.

• Brief : To obtain suitable collateral and secure a lender to make available loan funds to the Client.
• Total Facility Requirement : € 36 million

Facility Obtained

European based Provider Group with Dubai based Lender

• Facility Secured : Collateral Transfer Facility of € 36 million
• Annual Contract Fee : 5.35%
• Term : 12 months (renewable to 7 years)
• Deposit against Contract Fee : € 415’000

A European owned gaming and hotel consortium wished to expand existing facilities and venues within 3 major cities in Croatia, Macedonia and Montenegro. As existing physical assets had already been committed for mortgage security with investors, lenders and other financial institutions, additional security was required to secure the additional borrowings. The company had good turnover and cash-flow and held over 2 years trading history at almost all of their locations.

IntaCapital were successful to secure third-party investment and a structured credit line using a Collateral Transfer Facility. As the existing facilities and venues had a sustainably good source of proven revenue, we were successful in obtaining our client very competitive terms and a long facility term (up to 7 years) in the event that the clients needed the facility for a longer than usual period of time.

In addition to us facilitating their funding requirements, we also arranged for them a suitable exit strategy where the Collateral Transfer facility would be replaced with longer-term, more economical funding secured directly against their bricks and mortar assets.

Proposal

Collateral Transfer Facility – To act as back-up support and enhancement.

• Brief : To obtain suitable collateral to bolster or enhance ability and to act as a fall-back in the event further funding was required.
• Total Facility Requirement : € 30 million

Facility Obtained

European based Provider Group

• Facility Secured : Collateral Transfer Facility of € 30 million
• Annual Contract Fee : 5.15%
• Term : 12 months (renewable to 2 years if required)
• Deposit against Contract Fee : € 375’000

A Dutch construction company with modest experience required third-party support in order to satisfy and qualify for a tender bid for a Housing project. IntaCapital succeeded to obtain a Collateral Transfer facility that acted for the client as ‘an injection of capital on stand-by’. This meant that client held the collateral in the event that they may require further funding. The collateral acted as a temporary financial enhancement whilst it was in their possession.

The investment was made via the medium of a Demand Guarantee (issued under standard terms). Once the collateral (the Bankers Letter of Guarantee) had been received at the client’s bank, the client decided to apply to his domestic bank for a structured loan advance based upon a forward exit strategy for the development.

This facility acted as a short term bridge loan to allow them to bridge their funding shortfall to kick-start their development. The exit strategy of the sale of the properties (or refinancing of them in the event they did not sell) gave the client the suitable repayment vehicles.

The rates we were able to obtain for the client were very competitive as the Provider of the facility considered the project of low risk given that it was residential housing with several pre-sales and safety nets.

Proposal

Collateral Transfer Facility – Collateral Injection with Credit Line and ongoing support

• Brief : To obtain suitable collateral and secure a lender (or investor) to make available loan funds to the Client.
• Total Facility Requirement : € 18.5 million

Facility Obtained

European based Provider Group with Balkan based Lender

• Facility Secured : Collateral Transfer Facility of € 21 million with a secured credit line of €18.5 million
• Annual Contract Fee : 5.65%
• Term : 12 months (renewable up to 6 years)
• Deposit against Contract Fee : No Deposit was required as the company had long trading history and was financially strong.

A well established soft drinks manufacturer and distributor laid long-term plans to enter the European market with a range of soft and fruit based drinks using still and naturally sparking mineral waters. They employed IntaCapital to seek suitable partners and distribution networks in the East European and Balkan regions. This included seeking physical premises that included the necessity to locate and purchase an existing bottling plant that had a unique quality of mineral water. By employing our professional appraisal teams, we succeeded in securing premises that included land containing mineral water wells with naturally sparkling water. We also negotiated the necessary Government licences that enabled our client to operate the wells, plant and distribution.

IntaCapital were able to facilitate the necessary guarantees to secure the purchase of the plant and the development of it whilst the application for funding was being processed. IntaCapital were successful in securing a Collateral Transfer Facility for €21 million and arranged a private lending group to make available a credit line to the value of €18.5 million for up to a 6 year term.

The Company has operated successfully in their new premises with their new range of soft drinks and IntaCapital have already introduced them to several hotel groups and retailers who have entered into supply contracts with them. IntaCapital were pleased not only to assist our client obtain the finance they needed to expand in this region, but also to continue to support them by the introduction of new customers and ongoing assistance.