THE alternative finance provider Reward Finance Group has completed a partial management buy-in.
The group’s sales and marketing director, Nick Smith, has acquiring a significant minority stake in the business for an undisclosed sum.
The transaction sees Mr Smith take an equal shareholding with joint MDs Tom Flannery and David Jones with Johannesburg listed Tradehold, majority owned by South African billionaire Dr Christo Wiese, retaining its majority stake in the group.
Reward has 14 staff in Leeds and Manchester and its total lending to SMEs currently stands at £40m.
Mr Flannery said: “This transaction is very much part of our long-term strategic plan.
“Nick joined the business last year to lead our sales and marketing efforts and stage two was always about an equity stake for him.
“Dave and I love everything about the business and the fact that we are genuinely making a difference to business owners lives.
“We remain fully committed to Reward, we are going nowhere.
“This deal with Nick is the first step in the longer term succession planning for Reward and between the three of us and the wider management team we will continue to drive the business forward in the alternative finance space.”
Mr Smith added: “It’s exciting times at Reward. We have just come off the back of a record year and our busiest quarter to date, highlighting the fact that our core products are in demand now more than ever.
“I was delighted to be invited to join the equity ranks with Tom and Dave and look forward to continuing to drive the business forward with continued support from our backers.
“Reward’s future is extremely promising. We have significant capital available to lend.”
The legal advisers on the deal were Walker Morris, Clarion and Schofield Sweeney.