Demica, one of the world’s largest Fintechs focused on providing working capital solutions, and Wyelands Capital, a member of the GFG Alliance (GFG), announce today that they have entered into a strategic partnership to provide inventory finance to global commodity producers and traders.
The partnership will marry Wyelands Capital and GFG Alliance’s extensive trading network, relationships and expertise in commodities markets with Demica’s wide range of working capital solutions through its proprietary technology platform. The move is part of GFG’s strategy to fill an important market gap in the provision of working capital based financial products and solutions to industrial and commodity trading businesses in the UK and globally.
Matt Wreford, CEO of Demica, said:
“With over $9bn of receivables and supply chain finance outstanding on our platform, extending our offering into inventory finance is a logical next step to provide a full range of working capital solutions. Our partnership with GFG will provide us access to the deep domain expertise and relationships in the commodity sector necessary for success. We are excited about the opportunity to work with another entrepreneurial and driven firm and look forward to helping commodity firms to access committed, low cost capital via our unique technology platform.”
Sanjeev Gupta GFG’s executive chairman adds:
“Wyelands Capital and GFG are ideal partners to Demica given the extensive commodity and banking experience within the GFG Alliance. Our aim is to provide industry-friendly financial solutions that will plug gaps in the marketplace to enable companies to grow. There is still a significant need in the commodity and industrial sectors for competitive financing and Demica’s market-leading platform and capabilities provide an exceptionally good “bridge” between borrowers and lenders in this space.”
As part of its commitment, Wyelands has made a minority equity investment into Demica where it joins JRJ Group, Toms Capital, and 76 West Holdings as investors. This transaction has received the requisite regulatory approvals from the Financial Conduct Authority. Terms of the investment were not disclosed.