Raising debt financing
- Financial Consulting
- Investment banking
- Investor relations (IR)
Raising Debt Financing is a range of services aimed at getting borrowed capital by your company. We will help you obtain financing as soon as possible at the best market conditions. Our company has a profound experience with creditors what allows to choose the best conditions for attracting capital considering all the features of your business. With us you get a full range of services: strategy, product selection, and actual attraction.
Range of services for raising debt financing includes:
Issue of internal bonds and Eurobonds – attraction of financing using issue of bonds in the domestic and international capital markets.
If you select issue of bonds, your company will get:
- enhanced image and publicity of a company;
- additional long-term financing;
- better conditions than during crediting;
- protection of your business by the international society (choosing Eurobonds).
Crediting – attraction of debt financing.
Choosing our company you get an opportunity to attract:
- Project financing – for implementation of major investment programs.
- Mezzanine financing – lending with a possible repayment by share capital.
- Trade finance – raising capital for replenishment of working capital and general corporate purposes.
- Restructuring – services aimed at negotiating with current creditors to improve financing conditions.
- Loans from international financial institutions (European Bank for Reconstruction and Development, International Finance Corporation, international banks).
- Our company's specialists have extensive experience in debt financing from leading Ukrainian and international financial institutions. With us you get the best loan terms in the shortest period of time.
The rapid pace of development of the Ukrainian financial markets (credit, securities, insurance, etc.) are accompanied by a general rising trend of investment in the Ukrainian economy which is one indicator of its growth. Each company at certain stages of its development may require additional funds (and even fairly large amount) with a return in a medium and long term. To attract them a variety of debt instruments are used. The Ukrainian market of such tools has started to develop recently, but today range of types of debt financing is wide enough, and their choice is determined by specifics of a company, especially the market it operates in.
A key feature of debt financing as a way to raise capital is maintenance of company's ownership structure which is often a criterion why company management selects exactly this approach. Currently, this method of raising funds is regarded as one of the main sources of business financing. If funds are raised from domestic financial institutions of the banking system, bank crediting (in particular, syndicated one) is used; companies may also attract funds from international financial institutions. Large borrowers issue debt securities – bonds, getting "long" money through their sale. Usually these debt securities are bought by banks issuing loans. However, interests further paid by acceptor redeeming his notes or bonds are lower than thorough conventional bank lending. Issued bonds can be placed in domestic (domestic bonds) or international (Eurobonds) capital markets.
However, it should be noted that debt financing is accompanied by certain difficulties, and it is almost impossible to cope with them without special knowledge and experience. Risk of such financing is primarily default of interest that could lead to sale of debt securities of a company what may cause its bankruptcy. That is why this method of obtaining funds requires balanced and well-developed solutions. Rational structuring of the projects, balanced choice of potential investors and creditors, and thoughtful presentation of developed projects have great importance for success.
Task of Pro Capital Investment specialists is professional and efficient solution of all these issues. Search and selection of sources of debt financing may also be grounded by a need to solve nonstandard problems of business development. Experts of Pro Capital Investment taking into account individual characteristics of each customer successfully and effectively provide services to attract project, mezzanine, trade, and export financing. In case of local impossibility of debt payments we also help to restructure debt, taking part in negotiations with creditors on improving financing conditions for a customer on the terms, interest, and other aspects.
Our company provides "turnkey" services. Thus, the process of fundraising begins with a preliminary analysis of a company's financial condition to choose the optimal method and amount to attract funding; followed by development of a project, its approval on various aspects of a loan agreement, assistance in negotiations regarding a wide range of conditions of the agreement, its support after entry into force, closing of the transaction.