Mash Group Oyj
Euroloan share issue oversubscribed - equity increased by EUR 7.6 million
Helsinki, Finland, 2014-06-04 12:25 CEST (GLOBE NEWSWIRE) --
Euroloan Group PLC is pleased to announce that its common equity issue was oversubscribed. The offering consisted of the issuance of common A-shares, B-shares and C-shares with total gross estimated proceeds of EUR 7.6 million. These proceeds, added to the equity of EUR 10.3 million (2013), make Euroloan Group PLC an exceptionally solid financial group and pave the way towards being a regulated credit institution.
“We appreciate the trust placed in our team by our new investors and welcome them as appreciated shareholders in Euroloan Group PLC. It’s unfortunate that there were not enough shares to go around for all the interested parties. Now it’s time for our team to deliver and use the new capital to fuel profitable growth and increase shareholder value” says Tommi Lindfors, the Executive Chairman of Euroloan Group.
Euroloan plans to use the net proceeds from this equity issue to strengthen its capital structure while becoming a credit institution licensed to receive deposits from the public. The company’s fully owned subsidiary Euroloan Finance AB has applied to the Swedish financial supervisory authority for the license and the final parts of the application are expected to be processed in the near future. Once approved, the Swedish deposit guarantee fund will cover customer funds deposited up to 100.000 euros per customer. Euroloan Finance AB has been capitalized with EUR 7.0 million of Tier1 equity, which according to the Basel III (CRD4) rules enables it to accept up to EUR 50 million of deposits from the public.
Eric Sederholm, the CEO of Euroloan Finance AB states: “Euroloan is approaching the financial services sector with a fresh new attitude that I like. The combination of the exceptionally strong banking backgrounds in our board and the innovative technological approach in our team will definitely make Euroloan a winner. The solid capital structure of Euroloan Finance enables us to keep growing rapidly and sustainably.”
Only a week ago, Euroloan made a press release regarding rapid growth in the first quarter with a 50% increase in volumes from the previous all-time high Q4/2013. Samuli Korpinen, the CEO of the Groups largest subsidiary Euroloan Consumer Finance PLC is pleased to state: “This is only half the story, actually since launching our virtual credit card service in 2013 to the Finnish, Polish and Swedish (2014) markets, Euroloan has had 12 consecutive months of lending volume growth. This fact with the combination of better scoring and lowered credit risk grows the profitability of our scalable business model. This is extraordinary performance and the main driver fueling this is the fantastic team we have working for us.”
Euroloan Group PLC is a rapidly growing international FinTech (Financial Technology) group, headquartered in Helsinki, Finland with offices in Stockholm, Sweden and Warsaw, Poland. Euroloan has developed the most efficient business models and systems in the market, and is one of the leading service providers in key European markets. The company provides customers with real-time credit, enabled by a fully automated cloud service. Euroloan has consolidated its market position and increased its market share continuously from the time the company was established in 2007. More information about the company can be found at www.euroloan.com.
Jonas Lindholm, CEO
Euroloan Group PLC
Phone +358 10 217 1003