Omni Capital expands lending capacity in deal with London hedge fund
Omni Capital Partners Ltd. (‘Omni Capital’), the short-term residential bridging and finance company wholly owned by Christian Candy’s CPC Group (‘CPC’), has announced a significant expansion of its funding capabilities in a multi-million pound deal.
An innovative arrangement with CPC Group and Cheyne Capital Management (UK) LLP (‘Cheyne Capital’), a leading diversified alternative investment manager, will provide Omni Capital with additional funding, to provide much-needed liquidity to the short-term financing market.
The new funding arrangement is for a significant amount and will contribute to an overall £200 million credit line facility that CPC Group is making available to the marketplace through the Omni Capital vehicle. The co-investment by CPC and Cheyne Capital will support Omni’s current product suite and future real estate backed product lines.
Omni Capital will continue to focus on expanding its lending programme through a growing network of professional intermediaries. Discussions have commenced with a number of other third-party debt providers to secure an on-going warehouse facility in the near future.
Colin Sanders, chief executive officer of Omni Capital, said:
“By entering into this significant and purposeful agreement, Omni Capital has further strengthened its funding position. With new funding arrangements in place, and enjoying the full support of our parent CPC Group, we will benefit immediately from a robust funding framework and a business model with substantial shareholder investment.”
He added: “Funding, and the liquidity it provides, remains a challenge for businesses and consumers alike. By developing a sustainable lending strategy based on fair and competitive products, intermediaries and their clients can be confident that in choosing Omni Capital they are working with a partner with both the intent and means to satisfy their short-term borrowing needs.”
Omni Capital, which is 100% owned by CPC Group and has been in operation for just under a year, is able to lend in the unregulated residential market with LTVs of 80% on a first charge and 75% on a second charge. With immediate decisions, funding can be arranged within 48 hours with clear and fair terms and conditions.