Issuer Profile
Established in 2017, Thera Capital Management (“Thera”) is a growth-oriented non-bank lender that provides secured loans to support Australian food and agricultural production. Thera offers finance for livestock, broadacre cropping, permanent crops, post-harvest inventory, farmland purchases, water and agricultural development projects for food & fibre producers nationally.
Thera currently offers two products: Seasonal Finance secured over livestock, crops and post-harvest inventory, and Term Finance secured by first ranking real property mortgages. Thera’s appeal to farmers is its relationship driven approach, client service and agri-expertise and knowledge.
Issuer Need
Having existing warehouse structures with Australian institutional investors, Thera was seeking to diversify its sources of capital and established a new warehouse to help accelerate growth in its small ticket (<$5m) Term Finance loan book with the objective to grow the warehouse to >$100m within 12 months.
FIIG Solution
By issuing bonds into the capital markets, Thera had access to FIIG’s unique wholesale distribution network of more than 5,000 clients as well as institutional investors. FIIG worked closely with Thera, creating a new term debt warehouse that provided them with the flexibility and support to grow in the short term while setting in place a robust and scalable funding structure that will attract significant investor appetite over the long term. Part of this was a tiered approach to the warehouse whereby key Portfolio Parameters changed as the warehouse grew.
Issuer Testimonial
Thera co-founder and CIO Mr Razvan Mondoca said, “FIIG and their team have been first class and are a valuable partner in supporting the growth of our business.”