Channel Digital via its regulated asset-backed manager Channel Capital, partnered recently with TINT Financial Services, which provides short-term cross border finance, to increase funding lines to one of the leading players in the low-carbon economy sector.
The borrower is an international brokerage that focuses on the steel industry and green metals in global markets. We began financing this company years ago during the post-covid era and recently upsized our financing given growing business volumes.
Channel has a long-standing focus on ESG and Impact activities, including selectively considering the “Green Metals” market relating to the low-carbon economy and re-cycling. The process of refining metals is an energy intensive process, with aluminium and steel estimated to contribute between 2% to 7% alone of all global CO2 emissions1. Channel selectively originates lending opportunities that embrace circular economy practices, that is firms that increasingly focus on re-purposing to re-cycle goods. Firms in the re-cycled metals sector use significantly less energy than primary refining. Green steel is in high demand globally supporting construction, automation, data and automotive industries growth needs. The authorities have also encouraged buyers of refined metals to switch to green metals, targeting 50pct of total EU demand, as example.
“We are proud to support this company given its strong financial profile, growth opportunities and its participation in recycled metal markets as an alternative to primary refining”, said TINT Financial Services CEO, Steve Rose. He added “We are grateful to Channel for its funding lines and commitment to this sector, as a key partner to TINT”.
Tony Smedley, Head of Origination at Channel added “Channel selectively is seeking investments in the circular economy to support our ESG and IMPACT agenda. We always have more to learn but have already come a long way to combine the ESG and impact agenda with originating high quality funding opportunities for our LPs, investors and co-investor partners in global markets”.
1. White & Case research, May 2022
At Channel, we provide high-quality, privately originated asset-backed investment products by originating, structuring, and managing investments for leading institutional investors. We specialise in opportunities from issuers in specialty finance and the innovation economy.
For borrowers, we are a trusted partner in growth. Our expertise in structuring tailored financing solutions ensures you get the capital you need to scale, with a streamlined process and terms that work for your business. We are committed to delivering flexible, efficient, and growth-focused funding that empowers your success.