(Alliance News) - Supply@Me Capital PLC on Monday confirmed the success of its first transaction for its Inventory Monetisation product.
The London-based fintech firm said the IM transaction was executed by an unnamed "well-established business" focused on the design and manufacture of industrial and specialised vehicles, as well as electrical systems and wiring. The client has a "significant market presence" in Europe, predominantly Italy, as well as Africa and the US.
The total value of initial warehoused goods set to be monetised is around EUR1.6 million. The average annual fees to be invoiced by the firm's fully-owned subsidiaries will be around 3% of the gross value of inventory that is monetised.
"We are well aware that, given the complexity of our model, it has taken more time than expected for the first IM transaction to be executed, but this will now help traditional inventory funders to understand, in detail, the features of the model and fully recognise its feasibility and viability," commented Chief Executive Officer Alessandro Zamboni.
Shares in Supply@Me were up 3.8% to 0.12 pence each in London on Monday morning.
The developments follow its June announcement of a strategic alliance with VeChain Foundation, a blockchain enterprise service provider, which would provide up to USD10 million in funding for the first IM transactions.
"The involvement of VeChain, an organisation that is renowned in the sustainability and supply chain sector, will boost the confidence of traditional Inventory Funders in using blockchain solutions on real business cases," Zamboni continued.
Supply@Me said it is working on "multiple further inventory funding streams" to deploy further IM transactions, using traditional funding streams.
By Elizabeth Winter; elizabethwinter@alliancenews.com
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Supply@me Cap (SYME)