The Royal Bank of Scotland (RBS) has agreed a new three-year revolving loan facility with Cabot Financial, the consumer debt purchasing firm, which was acquired earlier this month by AnaCap Financial Partners ‘AnaCap’, the European private equity firm that specialises in the financial services sector.
AnaCap will integrate Cabot Financial with Apex Credit Management – another market leading debt purchase and collections agency that is already owned by AnaCap – to create the UK’s largest debt purchase and collection business.
The syndicated loan facility will be used to refinance the existing portfolios of both Cabot and Apex and support growth in the combined business going forward.
Marc Sefton, Director in RBS Financial Institutions team, says: "We are delighted to back this transaction for what is a growing business with a strong management team and a committed shareholder in AnaCap. AnaCap has a proven track record of buying and growing financial services businesses – as demonstrated by the success of Apex – and we look forward to nurturing the relationship with them over the long term.
"The UK purchasing and debt collection market remains highly fragmented and is expected to grow as consumer credit providers continue to outsource debt management to specialist third parties. We are particularly pleased to be backing the creation of a market leader which will set a new professional and ethical benchmark for the industry."