Senior Term Facility with UBS Investment Bank
Urban Exposure plc (the “Company” or “Urban Exposure”), a specialist residential development financier and asset manager, today announces a Senior Term Facility with UBS Investment Bank. The loan-on-loan line will provide gearing into a joint venture (“JV”) the Company has with KKR, a leading global investment firm.
The KKR JV, signed in July 2018 with an initial size of £165m, aims to provide financing for development projects in the UK mainstream residential property market. The UBS Senior Term Facility will facilitate up to an additional £165m of lending, increasing the total lending capacity of the JV of up to £330m.
UBS Investment Bank offers securities brokerage and investment banking services to institutional and corporate clients, intermediaries, governments, and hedge funds. The firm is based in London, with over 30 offices worldwide.
The joint venture is in line with Urban Exposure’s strategy to grow its Asset Managementdivision following its admission to AIM on 9 May 2018 and successful raise of £150 million.
Commenting, Randeesh Sandhu, Chief Executive of Urban Exposure said:
“We are pleased to have closed thisSenior Term Facility, which is asignificant milestone in our strategy to grow our third-party Asset Management division whilst also continuing to deploy our balance sheet funds. The addition of the loan-on-loan line from UBS adds significantscale to the KKR JV, meaning we can offer further support to SME developers as they seek funding for mainstream housing projects across the UK.”
Sundeep Lakhtaria, Partner at Urban Exposure said:
“The completion of this facility sees two global financial institutionspartnering with the Company and providing funding into our Asset Management division. We are delighted to be working with institutions of this calibre, which is testament to the exceptional sector expertise Urban Exposure has in residential development finance, and to our prudent lending policies and procedures.”
Luke Partridge, Head of SSG EMEA at UBS said:
“We are pleased to be working with Urban Exposure and KKR to help the partnership grow and expand in its long-term strategy. UBS’s loan to the joint venture demonstrates our ability to provide financing to specialist lending markets, and is an example of our focus to deliver value to our clients. We look forward to building upon this successful venture in the future.”
|Urban Exposure plc||Tel: +44 (0) 845 643 2173|
|Randeesh Sandhu, CEO|
|Liberum Capital Limited (Nominated Adviser and Sole Broker)||Tel: +44 (0) 20 3100 2000|
|MHP Communications (Financial Public Relations)||Tel: +44 (0) 20 3128 8540|