Drawbridge Finance has secured an additional £250m in funding from funds under management by its principal investor, Octopus Investments.
Jonathan Samuels, chief executive officer of Drawbridge Finance, says the new funding shows its investor’s commitment and appetite for the bridging sector.
Samuels says the money will enable the lender to expand its lending and increase its presence in sectors such as buy-to-let.
He says: “We have broadly three areas of the business – bridging finance, buy-to-let and development finance. Buy-to-let is where we will use a lot of the funding.”
Samuels says Drawbridge is also making good progress in its discussions with the Financial Services Authority about obtaining authorisation to provide first charge residential mortgages.
He adds: “We are in discussions with the regulator and moving towards getting authorised to offer regulated mortgages. Things are going well.”
Paul Latham, managing director of Octopus Investments, says: “Despite being one of the most active lenders over the past year or so, there is still significant demand in the market and this latest tranche will go some way to meet it.”