Together upsizes securitisation to £1 billion

Specialist finance provider Together has announced the upsizing of its Charles Street securitisation programme by £325m, bringing the total facility to £1bn, with the maturity extended to 2021.

The increased funding reaffirms the financial strength of the business and the continuation of Together’s ambitious growth strategy across both its retail and commercial divisions.

The investment grade programme “Charles Street Conduit Asset Backed Securitisation 1 Limited” has been in place since 2007, supported by RBS, Lloyds Bank, Natixis and HSBC, with Barclays also now joining the programme and committing £100m in this new transaction. The increasing support of the leading banks is testament to the commercial success of Together.

Gary Beckett, Together’s chief financial officer said: “The upsizing of our Charles Street securitisation marks a major milestone in bringing the programme to £1bn, which will enable us to meet the increasing demand for finance across our markets. Along with enhanced terms and an extension of maturity by an additional two years to 2021, the revolving programme provides a long term flexible facility to support our strategic growth plans.

“In addition to our continued diversification of funding, we continue our substantial investment in strengthening our leadership team, developing our IT infrastructure and extending our distribution channels, together creating a solid platform for profitable and sustainable growth.”

Together has enjoyed phenomenal growth in recent years, consolidating its different brands in September of last year to set itself apart as an industry leader in the specialist finance sector, lending to residential customers, property investors, professional landlords and SMEs.

In the 12 months to December 2015 annual new lending stood at £878m, with strong demand across all Together’s products, including short-term finance, which increased by 65 per cent in 2015. As at December 2015 loan balances exceeded £1.6bn.

The Charles Street securitisation programme, rated Aa2 by Moody’s and AA by DBRS, sits alongside Together’s £255m Lakeside securitisation, which was introduced last year, and also the group’s capital markets bond issuance of £300m.