Merchant Opportunities Fund Increases BMO Credit Facility to $100 Million
VANCOUVER, BC, Aug. 21, 2023 /CNW/ - The Merchant Opportunities Fund, a Vancouver-based private debt fund focused on investing in specialty finance portfolios, today announced that it has increased its revolving debt facility with the Bank of Montreal ("BMO"). The facility now consists of a $70 million funding commitment with a two-year term along with a $30 million accordion, with a Schedule 1 bank being added to the now syndicated facility.
The Merchant Opportunities Fund invests in proprietary specialty finance portfolios that in many cases consist of loans or advances that are originated, underwritten, and serviced by their primary originator, Merchant Growth. The BMO debt facility specifically provides funding for the Merchant Growth portfolio. BMO is acting as Agent and Sole Bookrunner on the revolving debt facility.
"We are thrilled to help thousands of additional Canadian borrowers through this significant increase in our borrowing capacity with top tier financial institutions," said David Gens, President & CEO of the Merchant Opportunities Fund and Merchant Growth.
Through the fund's 13 year track record of prudence and profitability, the Merchant Opportunities Fund has helped its investors generate attractive and consistent returns while also contributing to the prosperity of more than 15,000 businesses and individuals. Since its inception in 2010, the Fund has generated a compound annual return net of all fees of over 9% for its investors, and delivered nearly 14% in 2022.