LONDON (Alliance News) - Orchard Funding Group PLC Wednesday said it has been given full permission by UK regulators to conduct business as a consumer credit lender and credit broker.
Orchard Funding said it is the first insurance premium finance lender and professional fee funder in the UK to obtain full consumer lending permissions from the Financial Conduct Authority.
The news comes two weeks after Orchard Funding joined the London Stock Exchange's AIM junior market in a float that raised GBP10.0 million for the company and valued it at GBP20.5 million by market capitalisation.
Bexhill UK Ltd, a subsidiary, has become a consumer credit principal-appointed representative, according to Orchard, which said the news means that credit brokers of unsecured credit will be able to avoid the "expense and burden" of direct FCA regulation by becoming an appointed representative of Bexhill UK.
"We are very pleased to receive the great news of Bexhill UK's obtaining full FCA permission for consumer credit lending and consumer credit brokerage. We are also delighted to become one of the first consumer credit Principal-Appointed Representative in the UK and hope to provide assistance to consumer credit brokers by helping with the burden of FCA regulation," Chief Executive Ravi Takhar said in a statement.
Orchard Funding shares were up 1.1% at 100.04 pence on Wednesday morning in London, ahead of the 96p per share pricing of its initial public offering.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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Orchard Funding (ORCH)