Debitum reveals that their Estonia-based partner – non-bank financing company Evergreen Capital which issues business loans to Estonian SMEs from the manufacturing and services sectors has “released a new ABS program with 26 underlying assets.”
According to a blog post published by Debitum, the ABS program details are as follows:
- Total loan amount – 150 000 EUROS
- Interest – 10.75% p.a.
- Period – 380 days
- Category – C+
- Penalty fee in case of late repayment – 18% (in total 28.75%)
- “Skin in the game” – 10%
- Collateral – the loans are reportedly “secured with personal guarantees from the borrower’s owners/management and/or other collateral”
Currently, on the Debitum, there are reportedly four Evergreen Capital ABS programs available (with 82 underlying assets in total) “with 9.5%, 10.50%, and now with 10.75% p.a. interest rate available. Investment periods are from 239 to 380 days.”
More behind Evergreen Capital performance, operations, and business philosophy can be reviewed by checking out the interview with Kristjan Tolmats, co-founder of Evergreen Capital – “Each loan we give out must be a productive one.”
As reported earlier this month, Debitum has shared key updates including the number of assets (loans) pooled into Asset-Backed Securities by Loan Originator
In March, the Debitum platform reportedly “offered to place investments in 10 ABS programs consisting of 175 loans.”
The total number of assets “at the end of March -> 45 ABS programs with altogether 538 business loans financed or available for financing.” The total amount of funding “reached 76.9 million EUR.”
In March 3 ABS programs “ended and altogether – principal and interest – 962 587.8 Euros were in time repaid to investors.”
The average interest rate “continued to increase and reached 10.15% p.a.” They now “expect to keep and continue to increase this interest rate in the upcoming months.”
The number of investors in Debitum “continued steady growth in March.”
The total amount of money “invested in ABS assets was 1.1 mil EUR which highlights a good and stable tendency of investments – new and reinvested funds.”
The clear dominance of their A+ rate Loan originator Triple Dragone is “seen in the split of investments available”
Debitum reminds – your earnings “may be higher or lower than expected.” Investing puts your capital at risk. Any indicated return “does not guarantee the same future performance.”