Made to Order Stock Loans
EQUITY LINES AND BLOCK TRADE SHARING PROGRAMS
Made to order global financing, custom stock loans and liquidity solutions for shareholders, company founders, investor relations companies, executives and investors.
Should I Explore doing a Stock Loan?
Stock loans or securities loans are a popular strategy for shareholders, large companies that have positions, officers, consultants, hedge fund managers, investor relations companies and private equity funds. Shareholders that want to leverage their position to keep some or all of the upside of their portfolio but mitigate their risk on the downside. This process and structure is a well thought out method to get liquidity without a margin call if the stock declines.
For Non-US shareholders primarily in Asia, Europe, Australia and Canada that have Non-US securities position or portfolio with a value of a minimum of $250,000.00 (USD) or more; a stock loan is a great leverage loan opportunity for borrowers.
Our investors can provide up to $50,000,000.00 (USD) of liquidity through our stock lending program which utilizes the Borrower’s stock as collateral. The interest rates are generally between 4.5% and 7% interest only with some positions receiving up to a 75% LTV.
For example, a shareholder purchased a block of XYZ Company stock in a previous transaction. XYZ Company stock is now fully clear and can be electronically transferred from a Brokerage Account or a Transfer Agent. The shareholder believes the stock will appreciate in the coming months or years and rather than liquidate their full position (the shareholder wants quick cash) in XYZ Company on the open market, the shareholder can transfer the shares to the Lender (without changing title- Non-Title Transfer) and receive 45%-75% of the current position. This strategy is good for shareholders that believe the stock is going higher but want to leverage the position for immediate cash.
If XYZ Company stock appreciates during the loan term, (usually 1-3 year term) the shareholder retains 100% of the market value at maturity. If XYZ Company significantly declines, the shareholder can walk away from the loan and keep the original loan proceeds with no further obligation or recourse.
The loans are non-purpose, allowing the borrower to invest in anything both personal and business.
Here are some of the advantages of doing a private securities/stock based loan outside the USA.
- Fast closing, minimal paperwork & easy funding
- Non-recourse, no margin calls, or top up
- No credit pulls or reporting up front or in the event of a default
- Extremely Private & Confidential
- No Banks involved
- Zero fees from the lender
- Competitive LTV’s fro 45%-75%
- Low interest rates from 4.5%-70%
- Workable terms
- Ability to lend up to $50,000,000 (USD)
The NON U.S. STOCK LOAN PROCESS
- Borrow submits inquiry for loan by providing a stock symbol and interested loan amount.
- Lender runs algorithm and determines parameters of the loan
- Terms are negotiated, agreed upon & finalized.
- Lender sends contract to borrow for review and changes are made if necessary.
- Final contract is worked, negotiated & signed.
- Borrower and Lender coordinate a delivery date with TA or brokerage firms to fund the loan.
- Loan is funded through a DVP (delivery -vs- payment) which varies from market to market. The stock is transferred to the Lender and the loan funds are transferred to the borrowers brokerage account similar to an escrow transaction.
If you fall under the following please contact Numerian Capital for more info-
- A US Citizen with ANY foreign listed stock ownership
- A US Company (Corporation, LLC, LLP, Trust) with ANY foreign listed stock ownership
- Any Citizen or Corporation OUTSIDE the USA with any listed stock ownership OUTSIDE the USA (Example- an Australia citizen with a HK listed security or a UK citizen with a Canadian Security Exchange listed company. Or a UK citizen with a UK based listed security.
If you are a US citizen or a foreigner or foreign entity and own US based securities and wish to discuss other options, please contact Numerian Capital Directly-
Numerian Capital, Inc. with offices in Chicago, Nassau Bahamas and Grand Cayman can help you facilitate and find great options for your portfolio or stock position. Numerian Capital, Inc. currently does loans outside the USA for shareholders, officers, executives, companies, hedge fund managers and private equity funds.
Please feel free to contact them at (312) 725-6390 or email at email@example.com.