Fintech group Investment Evolution Credit (IEC), which specialises in online consumer loans, has announced the launch of a new £100m bond offering.
The IEC 15% fixed rate unsecured bond will offer investors a fixed 15% per annum return over five years, with interest payable quarterly.
Bond proceeds are expected to be immediately deployed to fund new consumer loans in the firm’s US state-licensed lending business, Mr. Amazing Loans, and to fund new consumer loans in the UK upon the launch of IEC’s UK lending operations by early 2025. This will come after the group obtained a Financial Conduct Authority (FCA) consumer lending licence under the consumer brand, IEC Credit.
IEC announced that the proceeds from its IEC bond offering will be used solely to fund the expansion of the company’s consumer loan portfolio and will not be used for funding working capital or any other purpose.
The new offering will also be an ongoing bond series, with the first tranche expected to be issued later this month, and with planned ongoing monthly bond tranche issuances to follow.
IEC CEO, Paul Mathieson, commented: “Our bond offers an attractive 15% per annum fixed interest rate yield, with interest payable quarterly. Funds raised from the IEC bond will enable a rapid and significant expansion of our consumer loan portfolio, which has the potential to substantially increase the revenues and profits of the company.”
The group also revealed it is planning to seek a public listing of the IEC bond on a stock exchange in due course, to “enhance liquidity, transparency and accessibility” for bond investors.
Recent Stories