Blemain Group to raise GBP 200m of high yield bonds

Jerrold Holdings is seeking to raise £200 million of high-yield bonds to increase its funding lines.

Jerrold Holdings, the holding company of Blemain Group, is set to raise £200 million worth of capital via five-year senior secured notes.

Within the lending syndicate, Royal Bank of Scotland Group Plc, Lloyds Banking Group Plc and Jefferies Group LLC are managing the sale of and underwriting the high-yield bond.

Jerrold Holdings will retain its £245 million syndicated loan facilities with its banks, which will be negotiated when the credit facility matures in 2015. The five-year senior-secured notes will help to repay this credit facility.

This is a sign of confidence for Jerrold Holdings and the Blemain Group as it will help to boost its funding in line with its growth plans over the coming months.

The bond issue reflects the growth in demand for the firm’s services and is a prudent approach to diversifying its sources of funding.

Marc Goldberg, Director of Jerrold Holdings, said: “The successful issuance of our first bond will be a key milestone for Jerrold Holdings, and the expected high demand reflects the strength of the business. The issuance will ultimately raise further finance and allow us to expand in key target areas, while also creating a platform for further growth and new products.”

International financial ratings service, Standard and Poor’s has labelled the debt with a B+ rating in a report. The ranking is quite typical for a mortgage provider in the specialist UK secured lending marketplace, which focuses on residential property, including second charge mortgages and bridging finance.

Jerrold Holdings provides funding for a host of industry lenders, including names such as; Blemain Finance, Lancashire Mortgage Corporation, Cheshire Mortgage Corporation, and Auction Finance.

Blemain are a leading provider of secured loans and bridging finance, while sister company Lancashire Mortgage Corporation offers commercial bridging and commercial mortgages.

Please get in contact with Vision Finance if you would like further information on the Blemain Group and the products they offer.