THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES
OF ARTICLE 7 OF REGULATION 2014/596/EU, WHICH IS PART OF UNITED
KINGDOM DOMESTIC LAW PURSUANT TO THE MARKET ABUSE (AMENDMENT) (EU
EXIT) REGULATIONS (SI
2019/310) ("UK MAR"). UPON THE PUBLICATION OF THIS
ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK MAR) IS NOW
CONSIDERED TO BE IN THE PUBLIC DOMAIN.
29 April 2024
Supply@ME Capital
plc
(the
"Company", "Supply@ME" or "SYME" and, together with its
subsidiaries, the "Group")
Agreement signed with an
Italian neo banking group to launch an Inventory Monetisation
programme up to €135m
SYME, the fintech business which
provides an innovative fintech platform (the "Platform") for use by manufacturing and
trading companies to access Inventory Monetisation© ("IM") solutions enabling their
businesses to generate cashflow, following the business update
provided on 5 April 2024, is pleased to announce that the Company
has entered into an agreement with Société Financière
Européenne S.A. ("SFE") and
an Italian neo banking group aimed at deploying an Inventory
Monetisation programme up to €135m Euro (the "IM Securitisation
Programme").
The IM Securitisation Programme
comprises the following commitments:
·
the Italian neo banking group, through its
investment banking division, acts as arranger and, following the
necessary internal approvals, funder of the senior notes and part
of the junior notes issued by securitisation special purpose
entities formed directly by the latter bank;
·
SFE acts as co-investor of the IM Securitisation
Programme subscribing the rest of the junior notes;
·
SYME is the platform provider and inventory
servicer of the Stock Companies owned by SFE.
The IM Securitisation Programme will
be deployed over multiple tranches of approximately €35m each, the
timing of which is dependent on the speed of the inventory turns of
the client companies. The funding is expected to be used to fund IM
transactions for Italian client companies included in the Group's
pipeline.
The expected returns of the IM
Securitisation Programme are in line with the Open Market IM, being
IM transactions from the Group's pipeline and funded by third-party
investors. In this regard, the IM Securitisation Programme is
expected to generate revenues of approximately 1-3% of the gross
value of the inventories monetised (purchase price plus
VAT).
The Company will further update the
market in due course once the first tranche of the IM
Securitisation Programme is deployed and will share more
information regarding the IM Securitisation Programme.
With
reference to the SFE, it is worth noting that, as of today,
Alessandro Zamboni, the CEO of SYME Group, has, along with a number
of other investors, a personal non-controlling interest in SFE. For
this reason, the IM Securitisation Programme, and the associated
agreements between the Group and the dedicated stock company (which
is owned by SFE) that will be signed as part of the definitive
commercial agreements between the relevant parties ("Platform Agreements"), constitute a
material related party transaction for the purposes of DTR 7.3 and
were, accordingly, voted upon by the independent Directors
(excluding Alessandro Zamboni, who, in this case, constituted a
"related party" (as such term is defined in IFRS)), and such
independent Directors consider this material related party
transaction in respect of the IM Securitisation Programme, and the
associated Platform Agreements, to be fair and reasonable from the
perspective of the Company and its Shareholders who are not a
related party.
For the purposes of UK MAR, the
person responsible for arranging release of this announcement on
behalf of SYME is Alessandro Zamboni, CEO.
Contact information
Alessandro Zamboni, CEO, Supply@ME
Capital plc, investors@supplymecapital.com
Notes
SYME and its operating subsidiaries
provide its Platform for use by manufacturing and trading companies
to access inventory trade solutions enabling their businesses to
generate cashflow, via a non-credit approach and without incurring
debt. This is achieved by their existing eligible inventory
being added to the Platform and then monetised via purchase by
third party Inventory Funders. The inventory to be monetised
can include warehoused goods waiting to be sold to end-customers or
goods that are part of a typical import/export
transaction.