SYDNEY: Cash Converters International Limited, a global consumer lender and second-hand goods retailer, announced Tuesday it has finalized a £12 million ($15.7 million) growth funding facility with Lloyds Bank. The company also reached an agreement to acquire 10 franchise stores in the U.K., advancing its strategy to expand its corporate-owned network.
The new financing will support Cash Converters’ ongoing efforts to buy out franchise locations, with the first acquisition comprising 10 stores in North West and Central England for approximately £7.5 million ($9.8 million). The deal, funded by the Lloyds facility, is expected to boost earnings. Post-acquisition, the company will operate 58 corporate and 134 franchise-owned stores in the U.K.
“Partnering with Lloyds Bank allows us to accelerate our growth plans and strengthen our U.K. business,” said Sam Budiselik, CEO and managing director of Cash Converters. He praised the bank’s support as a reflection of the company’s strong performance and future potential in the U.K. and Europe.
Cash Converters, listed on the Australian Securities Exchange (ASX: CCV), operates in Australia, New Zealand and the U.K. The company is shifting its lending focus toward longer-term, lower-cost solutions while expanding its retail footprint in refurbished luxury goods.