Fairstone Financial Inc. Upsizes Credit Facility to $1.85 billion
MONTREAL, Nov. 6, 2019 /PRNewswire/ - Fairstone Financial Inc. (“Fairstone” or “the Company”), Canada’s leading non-bank provider of responsible lending solutions for near-prime borrowers, announced today that it recently completed an optimization of its three-year revolving securitization facility (“Credit Facility”) provided by a banking syndicate, comprised of leading Canadian and international banks. This optimization increased borrowing capacity to $1.85 billion and eliminated the high-cost mezzanine tranche. National Bank of Canada acted as the Structuring Lead to the Credit Facility.
“This marks the latest milestone in our strategy to diversify the capital structure and expand funding capacity to support our growth plan, while maintaining efficiency in our cost of funds structure. It also underscores the confidence of institutional lenders in our business and strategy,” said Scott Wood, President and Chief Executive Officer of Fairstone.
The Company continues to maintain strong levels of liquidity to support sustained receivables growth.
About Fairstone Financial Inc.
Fairstone is Canada’s leading non-bank provider of responsible lending solutions for near-prime borrowers with over $3 billion in assets on a consolidated basis. Fairstone, including through its predecessors, has close to a 100-year history of providing Canadians with access to responsible credit. The Company has two key business lines: lending directly to consumers through its branch network and online; and financing consumer retail and car purchases through retailers and dealerships. Headquartered in Montreal, Fairstone is privately-held by an investor group led by funds managed by affiliates of J.C. Flowers & Co. LLC and Värde Partners. More at Fairstone.ca.
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SOURCE Fairstone Financial Inc.