Financial service provider APS launched a £5 million bond offering today, enabling investors to earn 7 percent fixed interest on a four-year investment.
The APS bond is suitable for investments of between £1,000 and £250,000, with interest paid twice yearly. The bonds will mature after four years, and will support the launch of new products and services for SMEs, and enhance APS financial’s digital assets and underlying technology to continue its aspiration to provide a best in class customer experience for banking services.
APS is a data-driven digital banking services pioneer, developing a full suite of digital banking products over the past ten years. The group’s aim is to provide better banking services and credit to small businesses and individuals, and became the first non-bank to leverage the over the counter Banking Services from the UK Post Office.
APS’s bank accounts take around eight minutes to open, allowing access to banking for SMEs far quicker than traditional high street banks. APS boasts 70,000 SMEs who choose to use its services, with 900,000 personal customers.
Rich Wagner, CEO, said that offering a bond was a “deliberate decision”, allowing them to “fund the next stages of our growth in a way that allowed our loyal customers and the general public to participate in our success.”
“The funds will enable us to enhance our suite of services loved by the thousands of small businesses and individuals in search of faster and smarter solutions. Our growth, track record and high levels of customer satisfaction have proven that you don’t need to be a bank to provide a trusted banking service”, he continued.
APS as a group have seen significant growth over the last four years, with a 29 percent increase in revenue and 69 percent hike in EBITDA CAGR. In the 12 months to March 31st 2016, APS generated revenues of £25.3 million and EBITDA of £4.1 million.
27/09/2016
