Multi Finance completes Rs.350m asset-backed securities issue

Multi Finance PLC (MF PLC), recorded its first private offering of an asset-backed securities issue of Rs. 350m. The objective was to finance its new lease and hire purchase portfolio as part of MF PLC's growth strategy.

A spokesman for the company said, "MF PLC believes that this process provides effective medium-term funding which allows attractive medium-term return for investors".

The transaction was arranged by Investrust Capital Ltd., (formerly known as Investec Capital Private Limited), a boutique investment banking institution and a provider of integrated capital markets and strategic corporate services.

Seylan Bank PLC has been appointed as trustee.

Group Executive Director and CEO of MF PLC, A H M Riyaz said: "We are pleased to access alternative sources of capital market funding. This issue not only increases the amount of capital available for disbursement, but it is an important indicator of the strength of our assets.Our ability to access low cost capital in the public and institutional markets gives us considerable competitive advantage to build shareholder value".