Alternative lender ThinCats lands £700m from British Business Bank initiative


ThinCats has entered a warehouse facility with both Citi and Barclays Bank, which is supported by the British Business Bank’s ENABLE Guarantee programme.

The ENABLE Guarantee programme’s primary goal is to boost lending to smaller enterprises in the UK. This current facility granted to ThinCats permits lending of nearly £696m to mid-sized, smaller British businesses. While Citi and Barclays are co-funding the senior portion, ThinCats contributes its own capital for the junior funding segment.

Delving deeper into what ThinCats offers, the company serves mid-sized enterprises, meeting their needs for both organic growth financing and merger & acquisition activities. This demand remains robust even amidst fluctuating macroeconomic conditions. Additionally, ThinCats has noted substantial follow-on financing for its existing client base.

On this recent achievement, ThinCats managing director Ravi Anand commented, “Mid-sized SME businesses are a vital component to economic progress and are deserving of support via the British Business Bank’s ENABLE Guarantee programme. ENABLE effectively does what its name implies, allowing alternative financiers like ThinCats, in collaboration with banks, to offer customised lending on a grand scale for the benefit of UK enterprises.”

The ENABLE programme’s objective is to motivate banks and other financial institutions to amplify their lending to smaller firms by cutting down the necessary capital, whilst the government assumes a section of the associated risk, at a certain fee.

Adding his thoughts, British Business Bank managing director Reinald de Monchy said, “We are immensely pleased to partake in this pioneering transaction with ThinCats, marking the first of its kind under the programme that introduces a direct guarantee on a segment of the liabilities in the funding framework. This guarantee will prove advantageous for mid-sized UK businesses by amplifying available resources, thereby bolstering broader economic expansion.”

It’s worth highlighting that this is not ThinCats’ maiden association with the ENABLE Guarantee programme; in fact, it’s their second transaction backed by the initiative.

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