Loan company issues retail bond paying 6.125%
International Personal Finance has issued a retail bond with a 6.125% coupon, maturing in 2020.
The company describes itself as a 'home credit service' for people 'who want to borrow money quickly and in a manageable and transparent way'.
It operates in Poland, the Czech Republic, Slovakia, Hungary, Mexico and Romania, offering short-term cash loans of £50 to £1,000 paid into an individual's bank as well as a home collection service, whereby agents of the company deliver the loan and come to collect the interest instalments.
International Personal Finance was floated on the London Stock Exchange in July 2007 and is FTSE 250 listed, with 2.4 million customers and more than 6,000 employees. The company made a profit of £95.1 million in its last financial year and the share price is currently 428.9 pence.
The minimum investment for the retail bond, which is expected to remain open until 30 April, is £2,000 with further purchases in increments of £100.
It will pay interest semi-annually, on 8 May and 8 November each year at a rate of £3.0625 per £100. The bond matures on 8 May 2020.
Gerard Ryan, chief executive, says the reason for the issue is "diversifying sources of funding and extending the term of debt facilities, at lower cost to provide further funding for future development of the business".
This article was written for our sister website Money Observer