Radium Capital aces half-billion-dollar milestone
Australia’s market leader in R&D financing, Radium Capital, has today reached the half-a-billion-dollar mark in Radium Advances issued to clients — six years after writing its first R&D loan.
The milestone moment follows the company announcing plans to pursue further growth and Jeremy Loftus taking the helm as Managing Director.
“The Australian market for R&D finance continues to present a significant untapped opportunity for Radium,” Jeremy said.
“Deep-tech, alternative energy and food security are highly prospective sectors for us, and we are also targeting agtech and life sciences.
“Our company is on track to unlock this potential and assist more businesses with R&D both in the near and long term.”
Around 13,000 businesses in Australia claim the Federal Government’s R&D Tax Incentive (R&DTI) every year. Yet only a relatively small percentage of these organisations are leveraging the additional capital and cash flow benefits of accessing their R&DTI refunds early with R&D advances.
It took Radium Capital around six months to deploy its first $10 million to borrowers in 2017 and over four-and-a-half years from launching to hit the quarter-billion-dollar mark.
Now, the platform-based R&D lender has repeated the same level of growth again, only this time, it has achieved the feat in less than 18 months.
As an R&D lender, Radium Capital benefits from having a bird’s eye view of innovation and funding trends.
“With rising interest rates, plunging valuations and less venture capital to go around, we’re seeing a significant uptick in demand for Radium Advances,” Jeremy said.
“From early-stage start-ups to ASX-listed businesses, more companies want to include our non-dilutionary, easy-to-access capital in their financial strategy.”
The allure of R&D financing does not end at Australia’s shores. Increasing numbers of businesses, especially from the biotech sector, are bringing their operations to Australia, while other entities are also adding an Overseas Finding to their applications for R&DTI refunds and Radium Advances.
“A big part of our success and our appeal to our Australian and overseas clients is our strong and sustained focus on governance and due diligence,” Jeremy said.
“Our sizable capital reserves mean our clients know they can always count on us.”
