LONDON, 20 May 2017: The Green Deal Finance Company (“GDFC”), has announced that it is looking to raise £5 million of debt finance in order to accelerate the roll out of new initiatives at the company. The GDFC will be raising this finance through the UK’s leading ethical peer-to-peer finance platform Abundance Investment (“Abundance”). Abundance has successfully raised over £40 million for 25 different projects since it started in 2012, and launched the UK’s first green energy Innovative Finance ISA last year.
Since Greenstone Finance and Aurium Capital Markets acquired the business in January 2017, the GDFC has consulted widely with its customers and the industry. As a result of these conversations, the GDFC has identified opportunities to make significant improvements to the GDFC proposition while cutting the UK’s carbon emissions and accelerate the company’s roll-out.
Kilian Pender, CEO of the GDFC and Founder and CEO of Greenstone Finance, said: “The Green Deal was established by the Government to give homeowners an opportunity to invest in their homes and make them more comfortable to live in, whilst also making them more energy efficient. Our latest fund raise through Abundance gives a broader set of retail investors the opportunity to invest in the GDFC, allowing us to accelerate the roll-out of the business and therefore making a greater positive impact on the environment sooner. ”
Climate and Industry Minister, Nick Hurd said: “People living in more energy efficient homes can have lower bills and warmer homes, while producing fewer carbon emissions. This is why the Government has committed to improving the insulation of more than one million homes over this Parliament. It’s encouraging to see private sector firms working to deliver energy efficiency to consumers through the Green Deal framework.”
Since its inception, Abundance has championed the notion of ‘democratic finance’ as a way to directly fund green economy projects, such as renewable energy generation, whilst giving greater control to ordinary investors. They choose exactly which projects to put their money in, how much they want to invest, from a minimum of just £5, for the potential to enjoy bank-beating financial returns tax-free through an ISA.
Bruce Davis, Co-Founder and joint Managing Director at Abundance, said, “We’re very pleased that the GDFC has chosen to raise funds through an Abundance-arranged bond offer. Both companies are focused on the win-win scenario of enabling ordinary people to do something positive for the environment while benefitting financially. Improving the energy efficiency of the UK’s housing stock comes top of the energy hierarchy, making a real difference to the UK’s contribution to mitigating global climate change. This is a great opportunity for people to invest in an entrepreneurial company looking to transform this sector.”
The GDFC’s aim is to become the leading platform for consumers in the UK in the home energy efficiency space and transform the sector through the investment and application of smart technologies, and a focus on high levels of customer service.
Abundance’s GDFC bond offer launches with an annual rate of return of 12% for 3 years. The bonds are eligible to be held in Abundance’s Innovative Finance ISA, so offering people a chance to earn a tax-free return. To invest in the GDFC Abundance bond, please visit www.abundanceinvestment.com
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About the Green Deal Finance Company
The Green Deal Finance Company (“GDFC”) is a privately-owned consumer credit company focused on setting up, financing and administering Green Deal Loans. Green Deal Loans provide customers with accessible financing to improve their homes by installing energy efficiency products.
The GDFC was originally launched in 2012 as a not-for-profit company. This was part of an initiative introduced by the Government to reduce carbon emissions (35% by 2020) by addressing the UK’s thermally inefficient housing stock, the worst in Europe. In January 2017, the company was acquired by Greenstone Finance and Aurium Capital Markets.
The Green Deal Finance Company has provided finance for loans to over 13,000 people in the UK and aims to become the leading platform for consumers in the UK in the home energy efficiency space.
About Abundance Investment
Abundance is a leading direct investment platform that is putting people in control of their money. People invest in individual projects that generate something good for the environment and society as well as bank-beating returns.
The investor chooses which projects or project to invest in from just £5 and benefits from a long term financial return, while the world benefits from clean energy generation.
Since launching in 2012, 3,500 people have invested £40m directly into the projects they support, with Abundance returning over £7m to its investors. In the process, Abundance has achieved a number of firsts. As well as being the world’s first FCA-regulated peer-to-peer investment company, it is also the first investment platform to offer a dedicated peer-to-peer investment SIPP and launched the UK’s first innovative finance ISA for renewable energy investments on April 6th 2016.
Abundance and Abundance Investment are trading names of Abundance Investment Ltd which is authorised and regulated by the Financial Conduct Authority (no. 525432).
Risk Warning: As with any investment product there are risks. Part or all of your original invested capital may be at risk and any return on your investment depends on the success of the project invested in. You should be prepared to hold Abundance investments for their full term (and many will have terms of more than 15 years). Abundance investments may not be readily realisable (and their value can rise or fall). They may be secured or unsecured, and where they are secured this does not ensure repayment. Estimated rates of return can be variable and estimates are no guarantee of actual return. Specific risks will apply in relation to each product. Consider all risks before investing and read the Offer Document for each investment.