Journey
- Concept
- Structuring
- Validation
- Scale
- Institutional capital
Context
The partner
Group with decades of experience in auto credit, offering refinancing and renegotiation to individuals and businesses, a negotiation marketplace and its own sales channel.
The challenge: scale to attract senior capital
A collateralized portfolio with a track record, but not yet at the scale needed to attract senior quotaholders to the vehicle.
Key decisions
Cap LTV against the FIPE reference price table
Financed amount kept below the vehicle’s value
Make staggered monthly subscriptions up to a target level
Capital follows the portfolio actually originated
Open the senior raise only once that level is reached
Approach senior investors with scale and a track record
Structure
Flow
Capital structure
Protection mechanisms
- Fiduciary lien on the vehicle
- Maximum LTV against the FIPE reference price table
What Uruk did
Build
Support- Eligibility criteria and quota tenor
Capital
Lead- Investment in a mezzanine quota, with significant subordination below it
- Staggered monthly subscriptions
Institutional traction
Lead- Structuring of senior quotas for institutional investors
- Senior raise led by the fund’s distributor, in progress
Horizon
Complete the senior raise with institutional investors and extend the partnership to the group’s other business lines.