Carly Holdings (ASX:CL8) secures $10m finance facility to expand vehicle fleet

• Carly (CL8) secures a facility of up to $10 million to expand its vehicle fleet from 146 cards to nearly 600 cars
• This is the largest funding facility the company has ever secured and was made with investment firm iPartners
• The facility is in addition to the $3.2 million of asset finance already secured from other financiers and drawn down
• The first vehicle deliveries under the new facility are expected in late March 2023, with over 100 total forward orders in place and expected for delivery by August
• CL8 shares are up 25 per cent, trading at 2.5 cents at 3:42 pm AEDT

Carly Holdings (CL8) has secured an asset finance facility of up to $10 million to buy new cars to quadruple its subscription vehicle fleet.

This facility, which was locked in with investment firm iPartners, is in addition to the $3.2 million of asset finance already secured from other financiers and drawn down.

The new facility is expected to bolster the size of Carly’s current fleet from 146 vehicles to nearly 600 vehicles.

Carly CEO Chris Noone said the company expected the new facility would “deliver an immediate uplift in revenue”.

“Securing this cornerstone asset finance facility is a vote of confidence in Carly’s ability to expand its car subscription business and a significant step down the pathway to sustainable profitability,” Mr Noone said.

“This new facility will enable Carly to get bigger and stronger, more quickly.”

iPartners CEO Travis Miller said: “As a market leader in providing private credit and growth capital, iPartners is thrilled to support Carly with a growth capital facility that will enable it to accelerate the expansion of its car subscription business.”

Carly will continue to assess a range of options to expand its vehicle financing capabilities over the next 18-24 months and look to further strengthen its existing and future finance partnerships.

The first vehicle deliveries under the new facility are expected in late March 2023, with over 100 total forward orders in place and expected for delivery by August 2023.

Additional orders will be placed for nearer-term delivery.

CL8 shares are up 25 per cent, trading at 2.5 cents at 3:42 pm AEDT.