AOFM approves investment into Prospa warehouse trust

The Australian Office of Financial Management has approved a maximum investment of $90 million into a Prospa Group Limited (ASX: PGL) warehouse trust through the Structured Finance Support Fund.

The $90 million is the maximum investment amount approved by the Delegate under the Structured Finance Support (Coronavirus Economic Response Package) Act 2020 and the actual committed limit may be lower than this.

Prospa CEO Greg Moshal said, “We commend the Government for recognising how important small businesses will be to our economic recovery and for their support programs like the SME Loan Guarantee Scheme.

“This investment through the SFSF of up to $90 million into our lending capacity, coupled with our $223 million allocation through the SME Guarantee Scheme, comes at a critical time. These programs will work together and enable Prospa to quickly deliver funding to small businesses and support Australia’s economic recovery.”