THE UK’s first listed fintech retail bond has invested in almost £50m of short-term property loans in its first seven months, LendInvest has revealed.
The LendInvest Secured Income bond, established by the former peer-to-peer lender, offers 5.25 per cent annual interest payable twice a year and listed on the London Stock Exchange in August 2017.
It is secured against a portfolio of property loans and guaranteed by LendInvest and trades under the LSE ticker LIV1.
Financial statements for the period between 3 October 2016 and 31 March 2018 revealed the company’s earnings from £49.6m of loans backed at the period end date was expected to cover the cost of interest paid to bondholders two times.
It generated a profit before tax of £6,000 during the period.
The listing was the first in a £500m LSE-listed note programme. with a second unveiled in March 2018.
Meanwhile, property investment platform LendInvest saw its profit increase to £1.8m for its 2018 financial year, up from a £1m loss in 2017.
The platform’s total loan originations were also up by 91 per cent to £536m.