Press Release: CODE Investing partnering with City of London Group
CODE Investing announces strategic collaboration with City of London Group to support UK SMEs.
City of London Group plc (COLG) (LSE: CIN), the parent company of a group focused on providing finance to the SME sector and home reversion plans in the UK residential property market, and CODE Investing, the institutional marketplace for SME debt, are pleased to announce a strategic collaboration to support the growth of UK small businesses. COLG will aim to complete £50 million in UK small business loans over the next four years originated through CODE Investing.
As an institutional partner to CODE Investing, COLG will gain direct lending access to qualified SMEs, originated to their specifications. The focus will be on property-based SMEs targeting bridging loans across the industrial, office, retail and residential sectors. Loans can be for purchase, refinance, and/or refurbishment of investment property or trading business premises.
The collaboration will see COLG aim to complete £50 million of loans over the next four years, with the option to expand that volume further based on demand. This comes at a time when an increasing number of financial services providers are working with FinTech companies* to diversify into the SME market.
COLG joins a wide range of institutions on CODE Investing’s lender panel, highlighting the increasingly important role alternative finance platforms are playing in stimulating the real economy.
Michael Goldstein, CEO of COLG said: “Collaborating with Fintech companies to enhance direct lending opportunities is an important component of our strategy. This relationship gives COLG access to attractive small business loans over the next four years, serving to further diversify our investment portfolio.”
“This agreement follows a period of due diligence on CODE Investing and its capabilities and processes, and we’re confident our joint effort will deliver a positive benefit to economic growth and to UK SMEs in particular.”
Ayan Mitra, CEO and Founder of CODE Investing said: “As an SME, accessing finance has traditionally been a lengthy and frustrating process. CODE seeks to address this dysfunction by offering potential borrowers an aggregate view of financing available to them in the market, a more streamlined experience, and an increased certainty of funding.”
“For our institutional partners like COLG, CODE’s marketplace provides direct lending access to qualified SMEs, made more efficient by automated technology and processes. We see COLG as an important addition to our lender panel and look forward to working with them to support the UK’s SME sector over the coming years.”
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