Bringing you live news and features since 2006 

APS launches 7 per cent bond to boost SME lending


UK-based banking services provider APS financial has launched a GBP5 million bond offering via its subsidiary company, APS Bonds, giving investors the opportunity to earn a 7 per cent gross fixed interest per year.

The APS Bond is a four-year fixed-term bond that gives participants the opportunity to invest between GBP1,000 and GBP250,000, in multiples of GBP1,000, and receive a 7 per cent return, with interest paid twice a year.
As these bonds are unlisted and non-transferable, investors will see their initial lump sum returned at the end of the four-year period when the bonds mature. 
The funds raised through the bond issue will be used to support the launch of new products and services for SMEs, and enhance APS financial’s digital assets and underlying technology to continue its aspiration to provide a best in class customer experience for banking services. It will also be used to expand APS financial’s credit business, which will boost cash flow for consumers and SMEs.
APS’ aim is to provide better banking services and credit to small businesses and individuals. It was the first non-bank to leverage the over the counter banking services from the UK Post Office.
Nearly 70,000 SMEs have chosen to open a business account with Cashplus, APS financial’s product brand, taking on average eight minutes to open an account from the start of the application, compared to the two weeks it can take with a high street bank. APS has also served over 900,000 personal customers. 
Revenue and EBITDA CAGR for the period has been 29 per cent and 69 per cent respectively, and in the 12 months to March 31st 2016, the company generated revenues of GBP25.3 million and EBITDA of GBP4.1 million.
Rich Wagner (pictured), CEO, says: “We made a deliberate decision to fund the next stages of our growth in a way that allowed our loyal customers and the general public to participate in our success. The funds will enable us to enhance our suite of services loved by the thousands of small businesses and individuals in search of faster and smarter solutions. Our growth, track record and high levels of customer satisfaction have proven that you don’t need to be a bank to provide a trusted banking service.”

Latest News

Matteo Greco, Research Analyst at Fineqia International, writes that bitcoin (BTC) ended last week at approximately USD60,800, marking an 8.8..
Amundi reports that in the first six months of the year, European UCITS ETF inflows reached a record high of..
Morningstar has released its European ETF asset flow update for Q2 2024 which shows that the European ETF and ETC..
ETF issuer WisdomTree has announced that it has partnered with commission-free investing app Trading 212 to offer six ETF model..

Related Articles

Chris Lo, Columbia Threadneedle
In a recent insight on India by Columbia Threadneedle Investments, the firm reports that the country’s economic reforms, which aim...
With an election on the horizon in the United States a group of ETFs is poised to capture investments on...
Robot worker
Qraft Technologies, based in South Korea, specialises in the use of AI in security selection and portfolio construction....
Andrea Busi, Directa SIM
Romain Thomas talks to Andrea Busi (pictured), CEO of Directa SIM, who explains why the online trading platform has just...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by