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Blue completes increase and extension of one of its warehouse facilities with a European bank and Insight Investment.
Blue Motor Finance (Blue) continues to strengthen its financial position and support its growth in originating used car loans from its auto dealer network.
Blue has successfully completed an extension and increase to £250m of one of its warehouse facilities with a leading European bank and Insight Investment, a global asset and risk manager. This 24 month extension and increased funding capacity demonstrates continued confidence in Blue’s platform and business model.
The transaction demonstrates Blue’s commitment to long term relationships with its financing partners as it continues to grow. Blue’s funding platform has enabled it to support its customers through lending in excess of £2.0bn in auto loans to over 200,000 individuals. Its relationship focused funding approach is underpinned by long term consistency and prudency in managing credit risk and delivery of diversified loan portfolios with relatively low average loan sizes, short term lengths, good security and predictable low default rates.
Tiku Patel, CEO of Blue Motor Finance commented:
“We are delighted to deepen our relationship with this major European bank and Insight Investment. We value our partnership and the continued support provided, enabling us to continue to support our customers. This facility increase and extension shows confidence in our credentials for carefully managing credit risk, delivering continued predictable performance, and further developing and growing our business moving forward.”
Shaheer Guirguis, Head of Secured Finance at Insight Investment, commented:
"We believe that the extension of this facility demonstrates our commitment to Insight’s now well proven strategy of identifying a sponsor with thoughtful design and robust processes, and building a strong relationship which allows our clients to deploy their strategy into what we think is a sound product while providing a tailored funding solution to Blue. We look forward to the continued success of the programme."
