TruFin’s Satago extends commercial pilot with Lloyds Bank
(TRU ) announced to investors that its subsidiary, Satago Financial Solutions, has received a six-month extension to its previously signed commercial pilot with Lloyds Bank.
Satago entered into the pilot with Lloyds in December 2020 where it was agreed that Lloyds would licence its software platform for customers seeking single invoice finance solutions.
The commercial pilot, which caused shares to gain nearly 30%, was planned to run for up to six months and, if successful, was expected to lead to a five-year commercial agreement.
Today, TruFin said it had received a further six month extension - should this be successful, the group will then be able to secure the five-year commercial agreement with Lloyds Bank.
Addressing shareholders, the company stated that ‘both parties are keen to work closely and continue the commercial pilot, in which Satago will develop further integrations with the Bank's infrastructure and drive additional reach through Lloyds' regional sales network.’
Satago, which planned to launch its lending as a service product, believes the partnership highlighted the value that the company can offer to strategic partners and SMEs in the UK.
Back in December 2020, James van den Bergh, Chief Executive of TruFin, highlighted to investors that: "A key part of TruFin's strategy is to grow through partnerships and this agreement is another fantastic milestone for the Group, and in particular for Satago.”
Shares in TruFin have increased by nearly 80% since the beginning of 2021. The stock was trading 5.88% lower this morning at 80p immediately following the announcement.
In April 2021, TruFin said its performance for the year ended 31 December 202 had remained resilient as it saw gross revenues from continuing operations grow by 102% year-on-year.
The UK-based company, which is focused on FinTech and banking businesses, described 2020 as “a significant year” as previous investments the Group made started to yield fruit.
TruFin said existing partnerships were strengthened whilst new partnerships were forged over the period, and that going forward, it remains fully funded to achieve profitability.
The Company said its business is emerging ‘not only relatively unscathed from the pandemic but is even better placed to continue to prosper.’ In particular, the Company said this year’s highlights have been focused largely on the operational side of TruFin's subsidiaries.
TruFin said much of the momentum it experienced in 2020 is continuing into 2021 and that it remains optimistic for 2021 and beyond. It said it is confident that, as the pandemic abates and the UK emerges from lockdown, that it is well-placed to dominate its chosen niches. It expects 2021 to be a year of new milestones as a number of its subsidiaries move into profitability.
Follow News & Updates fromhere:
Disclaimer & Declaration of Interest
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.