Sonovate, a prominent figure in the provision of finance and payment solutions for the contingent workforce, recently disclosed a momentous escalation in its securitisation.
The figure now stands at £240m, a considerable rise from the £165m figure declared the previous year. This pivotal progression is marked by the inclusion of Lloyds Bank to Sonovate’s assembly of financial backers.
As a fresh entrant to Sonovate’s finance providers, Lloyds Bank pledges to offer a whopping £100m as an integral part of the senior tranche. Existing participant, BNP Paribas, remains steadfast with its commitment of £100m from the first round of securitisation. M&G, a long-standing funding ally of Sonovate, also elevates its total contribution to £40m.
This augmented securitisation and diversified financial backing broadens Sonovate’s horizon. By amplifying its lender pool, Sonovate is set to improve its capital efficiency. This move paves the way for an expanded customer base, especially in the enterprise domain. Moreover, it capacitates Sonovate to enhance its funding to firms stationed beyond the UK borders. The spotlight is on the Netherlands, marking the nation where Sonovate inaugurated its debut international office earlier this year.
Sonovate’s reinforced stature in the FinTech realm comes into prominence with this deal. The arrangement attests to Sonovate’s burgeoning capabilities, enabling it to finance entities ranging from budding startups to colossal multinational corporations.
Sonovate Co-Founder and Co-CEO Richard Prime said, “This is an enormously exciting time for Sonovate. Our newly expanded financial capabilities allow us to take the next step on our mission to be the funding platform for the future of work, ensuring all workers get paid on time, every time, for the work they do. We’re particularly excited to grow our customer base in the Netherlands, where we intend to disrupt existing structures by offering alternative funding and pioneering technologies. Having the backing of lenders such as Lloyds gives us a huge boost, and we look forward to working alongside the team to provide better, more effective finance options to organisations across the globe.”
In a string of novel product revelations earlier this year, Sonovate rolled out a new platform. This innovative platform empowers clients to solicit funds whenever necessary, spanning numerous sectors and currencies. Furthermore, it presents amplified operational efficiencies.
Miray Muminoglu, Head of Securitised Products Group and FIG DCM at Lloyds Bank, commented, “We’re pleased to support Sonovate as they continue to develop innovative finance solutions for their clients in the recruitment sector. We look forward to seeing them progress in their growth journey.”
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