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
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.