BFS renews £700mn securitisation deal with Lloyds, HSBC to support UK SMEs
International SME financier, Bibby Financial Services (BFS), has renewed its securitisation arrangement for three years, boosting its funding capacity to improve access to finance for UK businesses.
The refinance deal has been agreed with lenders including Lloyds, HSBC UK Bank PLC, Bayern LB and with participation of funds under the management of Insight Investment.
Theo Chatha, chief financial officer of Bibby Financial Services said: “Amid a combination of stubborn inflation, energy prices and tariffs friction, the cost-of-doing-business remains a real concern for SMEs across the country. This agreement provides BFS with significant capacity to help UK businesses access the cashflow they need to overcome these challenges, enabling them to grow and thrive.”
Michael Hodgson, managing director, head of Corporate, Securitised Products Group at Lloyds, said: “Bibby Financial Services is a long-standing client and we are proud to have supported the business since the securitisation was established a decade ago. Our continued backing, through this new three-year refinancing of the company’s core funding facility, is testament to Lloyds’ commitment to providing securitised funding to the SME sector.”
Formed in 1982, BFS supports 8,500 SMEs worldwide through its invoice finance, asset finance and FX solutions, with 1,000 employees in operations spanning Europe and in Asia.
The transaction comes amid the Department for Business and Trade’s call for evidence on small business access to finance, which was launched in March and closed on 8 May.
Theo added: “SMEs play a vital role in driving economic growth, and more than ever, these businesses need access to flexible working capital solutions to manage day-to-day expenditure, and to plan for growth.
“Amid the closure of the government’s call for evidence of small business access to finance, we’re delighted to announce our refinanced facility. This transaction provides us with significant headroom to support new and existing customers in 2025 and beyond.”
BFS is part of the Bibby Line Group, a 218-year-old family-owned business operating in multiple countries.