SECURITY TRUST SERVICES
Club Lending
In this arrangement, the participating lenders, often referred to as the “club,” extend credit to a single borrower. Unlike syndicated loans involving a larger number of lenders and a lead arranger, club lending typically involves a smaller, select group of investors.
This form of lending typically involves two or more investors).
Who needs this?
Does your company need to raise capital?
Do you need a neutral and highly professional trustee to facilitate the process?
This service might be for you!
BENEFITS
- The incidence of Lenders’ monopoly, abuse or devaluing your assets is minimized.
- Seamless entry and exit of Lenders.
- Near perpetuity nature of Security.
- Confidentiality is assured.
- Prompt discharge/release of the Lenders on the full repayment or replacement.
- Allows for small and big Lenders to share in the charge on pari passu basis.
