- MoneyMe (MME) secures $25 million of debt funding from Australian investment firm, Pacific Equity Partners
- The funding commitment will be on materially the same terms as a corporate facility that MoneyMe established in September 2021
- The decision to access the funding from Pacific Equity Partners follows a trading halt that was put in place for a potential $20 million capital raising to support the acquisition of SocietyOne and its associated transaction costs, which did not go ahead
- MoneyMe says it continues to have cash reserves available to continue to fund its loan portfolio growth, with its pro forma cash and cash equivalents well positioned at $34 million as at 31 December 2021
- MoneyMe dropped 10.6 per cent to finish the day at $1.61 per share
MoneyMe (MME) has secured $25 million of debt funding from Australian investment firm, Pacific Equity Partners.
The funding commitment will be on materially the same terms as the corporate facility that MoneyMe established in September 2021.
The decision to access the funding from Pacific Equity Partners follows a trading halt on February 22 that was put in place for a potential $20 million capital raising to support the acquisition of SocietyOne and its associated transaction costs.
MoneyMe said while it received good support from existing investors and new institutional investors for the potential raise, despite the market’s uncertainty, it concluded the current market environment was not conducive to proceeding with the capital raise.
On a positive note, MoneyMe said the funding commitment demonstrated the strength of the relationship between Pacific Equity Partners and MoneyMe.
“PEP recognises MoneyMe’s strong track record of growth and innovation and the large value creation opportunity from both its core business and the logical and synergistic acquisition of SocietyOne,” said Managing Director of PEP, Jake Haines.
“We look forward to continuing to support MoneyMe in its growth ambitions.”
MoneyMe said it continues to have cash reserves available to continue to fund its loan portfolio growth, with its pro forma cash and cash equivalents well-positioned at $34 million as at 31 December 2021.
MoneyMe dropped 10.6 per cent to finish the day at $1.61 per share.