Steel Express Haldus OÜ (II)
Short-term investment loan
- Start of investment period01.07.2019
- Start time28.06.2019 07:00
- Asset classInvestment
- Investment typeOther
- Investment end date30.06.2020
- Remaining term8 months
- Expected rate of return16.02%
- Expected cash yield%
- No of investors1358
- Goal€415 000
This investment opportunity is about refinancing Steel Express Haldus OÜ (the Sponsor) previous crowdfunded senior loan in amount of EUR 415,000. Previous loan was used to finance the acquisition of 2 real estate properties as part of group restructuring. By transferring production facility and land plot into Steel Express Haldus OÜ, the Sponsor released the necessary working capital for the growth of its subsidiary. The vacant land plot will be used for constructing a new 3,000 m2 production facility for the subsidiary. Serving of the previous loan has been excellent.
The Sponsor plans to build and rent a 3,000 m2 building to its subsidiary. Refinancing is due to too optimistic estimation by the Sponsor for obtaining building permit and also the need for redesign. By now, the building permit has been received.
The crowdfunded loan is secured by mortgages (1st charge for an unfinished property and 2nd charge for the current production building) as well as the subsidiary's payment guarantee.
The loan bears a 15% per annum interest rate and the expected return on investment (IRR) is 16.02%.
This investment pays monthly interest nad principal repayments, starting from the next month after the loan has been issued.