Assetz Capital secures £200 million funding to boost SME lending

Over the next three years, Aeon Investments will inject an initial £200 million of investment into SME loans arranged by Assetz Capital, enabling the business to provide commercial mortgages of up to £10 million on commercial investment properties. This enables Assetz Capital to further diversify its commercial mortgage lending and expand its capacity to lend across the broadest range of commercial properties used by UK SMEs.

As Assetz Capital continues to grow the total amount of retail and institutional funds lent to UK SME businesses, currently standing at £1.5 billion, the relationship with Aeon Investment is a further key milestone.

Stuart Law, CEO of the Assetz Capital, said: “We’re thrilled to start a new relationship with a like-minded company equally committed to supporting the SME sector. The need for SME funding has never been more apparent as an increasing number of traditional lenders aren’t offering financing solutions to SMEs. Together, through innovative and alternative financing we can enable UK businesses to grow and scale up.”

Oumar Diallo, CEO at Aeon Investments, added: “Our agreement with Assetz Capital is the latest example of our commitment to the commercial real estate sector. If you adopt a strong focus on risk management and have prudent LTVs and conservative debt coverage, we believe commercial real estate lending is a very attractive asset class, particularly in the current environment with depressed fixed income market and falling equity prices.”