It has invested in HSBC Asset Management’s UK Direct Lending Fund.
Geraint Jones of Admiral.(Image: Matthew Horwood)
Motor insurance to loans group Admiral has backed a fund designed to support the growth of mid-market firms across the UK. Wales’ only FTSE 100 headquartered business has invested into HSBC Asset Management’s UK Direct Lending Fund.
The debt fund has provided vital capital to many UK businesses, including school meal provider, Impact Food Group, and Chepstow headquartered telecommunications hardware recycling business, TXO. This has enabled both businesses to expand their operations and customer base.
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Woking-based Impact Food Group, which was fund backed last year is a food supplier of high nutritional school meals with a focus on limiting food waste and reducing its carbon footprint.
TXO is a provider of telecom asset recycling and other services which support the transition towards a circular economy by reducing waste. TXO’s services extend the life of critical equipment, lessening the environmental impact associated with production cycles.
Mid-market companies, which typically have revenues from £25m to £500m, are the economic engine of the UK, fuelling local job creation and innovation. Admiral has not disclosed the level of its investment into the debt fund.
Geraint Jones, Admiral Group chief financial officer: “Our investment demonstrates our commitment to operating in a sustainable way and enables us to help even more people to look after their future by supporting businesses which make a significant impact in communities. It has been great to see the on-the-ground impact of the Fund and showcase that our investments can generate attractive financial returns and positive change for society.”
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Frank Bandura, Impact Food Group chief financial officer: “We aim to transform lives through the power of food – ensuring that every meal we serve makes our students happy, better able to attend, focus and enjoy school and leads them to achieve better outcomes. The funding structure from HSBC and their investors has enabled our business to scale rapidly, furthering our impact on students.”
Deepak Seeburrun, head of global insurance and partnerships, HSBC Asset Management: “We are incredibly proud of the success of our Direct Lending platform to date, and delighted to have the continued support of Admiral, alongside many other clients. Our partnership approach provides unique access to UK mid-market loans, combining the skill and experience of HSBC AM’s Direct Lending investment team, and the unparalleled market position of HSBC UK Bank.”