Just Loans Plc :investor Update

 
TIDMJLG 
 
 
 
   JUST LOANS PLC / JUST LOANS PLC :INVESTOR UPDATE . Processed and 
transmitted by Nasdaq Corporate Solutions. The issuer is solely 
responsible for the content of this announcement. 
 
   03 November 2017 
 
 
 
   INVESTOR UPDATE 
 
   I wrote to you in June enclosing a copy of our Annual Report and 
inviting you to attend our AGM. A few shareholders did attend the AGM 
and I am pleased to report that all the resolutions that had been 
proposed were passed unanimously. Our interim accounts to 30 June 2017 
were published on the Cyprus and Vienna Stock Exchange websites and, of 
course, on our own website. 
 
   In order for the Group to meet its growth targets it is necessary to 
raise the funds to be lent out. The Group signed a GBP10m facility with 
the US fund manager SQN Capital Management in December 15. This facility 
has now been drawn down fully. In July 2017, the Group signed a facility 
with SQN Secured Income Fund for a further GBP10M facility allowing the 
Group to drawdown GBP2M per month. The Group has utilised GBP4M of this 
facility, drawing down GBP2M in July and August. This institutional 
fundraising is in addition to the continued fund raising from the sale 
of debenture securities which are traded on the Emerging Companies 
Market of the Cyprus Stock. 
 
   In addition, at the end of 2016, the Company signed a facility agreement 
with an institution, who are looking to raise GBP50Million via a Bond 
issue designed for institutional Investors. The proceeds of this Bond 
issue will be loaned to the Company and the Bond issue is secured on a 
basket of loan facilities of the Company. The processes and procedures 
of Just Cash Flow were rated by an independent rating authority for the 
purpose of the Bond which was awarded an Investment Grade A with stable 
outlook. To date the company has received GBP13.3M of which GBP9.0m was 
received in September. It is expected that we will receive another 
GBP10m before the end of the year. 
 
   The Group is confident that further funding will be made available from 
SQN and the other institutional funder but the directors continue to 
source additional funding from other institutional investors which will 
further enable the Group to broaden its product range for the SME 
market. 
 
   The development of our proprietary "Propensity" lending process is now 
complete as is the core of our proprietary "AlfiLMS" IT system. The 
AlfiLMS system will continue to evolve with the addition of new Fintech 
systems that become available, and / or are upgraded, in order to ensure 
that our system remains one of the most advanced customer acquisition 
and management systems in operation. 
 
   The second half of the financial year has started well and the new 
institutional funding will enable the Group's loan book to reach the 
critical mass required for the Group to start making profit. The 
additional funding will also enable the Group to broaden its product 
range for UK SMEs. We have been working on a banking system to 
complement our loan products. This will provide our customers with all 
the facilities of a "normal" bank including BACS, CHAPS, foreign 
currency, standing orders, direct debits etc but with the one exception 
that we will not take deposits or pay interest. This banking system will 
be rolled out in the first half of 2018 and we will be seen as a major 
competitor of the other Challenger Banks such as Monzo, Starling and 
Atom. There are also plans for the Group to open in other selected 
European markets as the opportunities arise but this will be financed in 
local currency in order to reduce any foreign exchange risks. 
 
   The potential listing of our shares on AIM or another senior UK stock 
market has been delayed until later in 2018. The successful launch of 
our new banking solution will have a major impact on our prospects and 
market perception and the directors consider that there will be a 
significant advantage to shareholders to delay any application until the 
banking product is in place. 
 
   I thank you for your continuing support. I truly believe that 2018 will 
be an exciting and profitable year for the company and its investors. 
 
   Yours sincerely 
 
   John Davies 
 
   Chief Executive 
 
   The Directors of the Issuer accept responsibility for the contents of 
this announcement. 
 
 
 
 
 
   FOR FURTHER INFORMATION PLEASE CONTACT: 
 
   Robert Boot 
 
   Director 
 
   1 Charterhouse Mews 
 
   London EC1M 6BB 
 
   Email : [e-mail] 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: JUST LOANS PLC via Globenewswire 
 
   --- End of Message --- 
 
   JUST LOANS PLC 
 
   1 Charterhouse Mews London UK 
 
 
  http://http://www.just-loans.com/ 
 

(END) Dow Jones Newswires

November 14, 2017 10:43 ET (15:43 GMT)

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