Why invest in the bond?
1. It is a listed Bond to raise £50 million.
2. Market maker is Canaccord Genuity.
3. Coupon return of 8% per annum payable quarterly in arrears. To compare, this is a better return given than what is currently being offered by Bank Deposit schemes.
4. Investment strategy involves sectors which generate high yields of returns hence the coupon commitment will be easily met by the company.
5. Crest shares on the stock issuers.
6. Minimum investment threshold only £5000.
The investment will be structured in the most appropriate commercial and tax manner which may be based on loan and interest, equity and dividend or a mixture of both. For each investment decision external taxation advice will be sought where appropriate. The Company will allocate the funds received from the Bond to its operating investments according to the business proposals put forward and agreed by the Board. The funds will be allocated on the basis that the acquired target investments will provided either a revenue of stream or capital return to, as a minimum, meet the Company’s required rate of return to fund the bond interest payments. The Board have a long established experience in the provision of professional services to UK and European businesses. The Company will allocate the funds received from the Board The Company is dependent upon its investment strategies to generating revenue, cash flow, profits and/or increase in capital value in order to fund the Bond interest payments. The strategies to control and mitigate the investment and operational risks include:
- Diversification of revenues over a number of core sectors which are not correlated economically;
- In the event of investing into a bridging finance business, reducing the timescales on short-term loan commitments to a maximum of months;
- A requirement for an independent assessment and evaluation of the borrower and security package for the bridging finance;
- A security package comprising of property backed lending over UK property or corporate assets, in some instances enhanced by personal guarantees etc.