RE: New investor1 Jan 2022 20:45
Now the fun part :)
Revenue stream #1: "Captive" inventory monetisation platform servicing ("C.IM")
Italy
In Italy, as outlined in the RNS of 11 November 2021, SYME expects to complete the first inventory monetisation covered by the Italian Government's SACE guarantee "Garanzia Italia" (now expected to be extended until the end of June 2022), following the signing of a binding agreement with the Fintech Bank funder, announced in the RNS of 29 June 2021. This binding agreement is close to being signed. The parties are currently negotiating new key terms aimed at revising the purpose of the alliance to become more focussed on a commercial path, which would not require the acquisition by SYME of the 10% stake in the Fintech Bank.
The Company is also in discussions with a number of other Italian banks for the completion of further inventory monetisation transactions during 2022. SYME is also working closely with SACE, in order to study a new bespoke guarantee which would commence following the expiry of the current "Garanzia Italia" SACE guarantee scheme referred to above.
SYME also confirms that the Captive Bank project, a strategically important initiative for the Group, remains ongoing.
The above is brilliant - bear with me - we are no longer required to purchase 10% of the FB - the sace initiative has 100% derisked the funders - the sace initiative guarantees upto 90% of the funders money plus the funding is not only sace backed but asset backed as well - incase of default the funder retains the assets ! Brilliant - win win win win - the government are aware it’s an asset backed deal so are more comfortable incase of default - the funders not only have the guarantee from the government but also the assets - syme no longer required to purchase 10% of FB meaning the CLN can either be paid back or used for ongoing development - makes it easier for clients to get their funding - sace has been extended till June and syme working to develope a bespoke guarantee once the sace has finished !
Nothing negative above in fact very positive and exciting !!
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