Fineqia International Inc. (the “Company” or “Fineqia”) (CSE: FNQ) (OTC: FNQQF) (Frankfurt: FNQA) is pleased to announce its U.K. subsidiary Fineqia Limited (“Fineqia Ltd”) has successfully arranged for the issuance and subscription of a bond against assets of loan receivables.
Fineqia U.K. placed the bond issued by the PremFina Ltd (“PremFina”) and subscribed to by global venture capital firm, Wavemaker Genesis Master Fund (“Wave”), a unit of Wave Financial Group. PremFina created and authorised the issue of an aggregate ten 3.5% Secured Loan Notes (the “Instrument”) with an aggregate nominal amount of $100,000. The bond is issued in and subscribed to in U.S. dollars, backed by assets in the form of U.K. loan receivables from premium finance loans. This bond has a six-month maturity term.
“This bond issuance represents a great opportunity for Fineqia Ltd to arrange issuance and subscriptions of high-quality debt instruments,” said Chief Executive Officer (CEO) of Fineqia, Bundeep Singh Rangar. “This should pave the way for more such issuances in the future.”
PremFina generates loans from the financing of insurance premiums in the U.K., making insurance more affordable for customers. Premium finance is considered high quality debt with U.K. industry loan losses at less than 0.30%. It involves paying the cost of an insurance premium to an insurance company upfront, on behalf on an insured company or person, who then repays the same amount on a monthly instalment basis, along with a finance fee.
Fineqia owns a minority stake in PremFina, which it made to establish a strategic relationship with the debt originator. Fineqia’s co-shareholders in PremFina include Japan’s Rakuten Capital, the U.K.’s Draper Esprit Plc, a U.K. affiliate of Silicon Valley Bitcoin investor Tim Draper, Thomvest Ventures Inc, the investment firm of Canada’s Peter Thomson, Emery Capital, Rubicon Venture Capital and Talis Capital.
Founded by CEO David Siemer, Wave is one of the world’s leading venture capital firms in the cryptocurrency and blockchain industries. Wave was a first-round backer in EOS and Ethereum and have an investment portfolio of more than 25 projects worldwide.
“We are excited to welcome Fineqia as a partner to further our mission of providing institutional investors with the right infrastructure and tools to gain exposure to the growing Digital Asset space,” said David Siemer, CEO. “We look forward to continuing this partnership and pioneering a new path together.”
SOURCE Fineqia International Inc.