Goldman-backed lender finds good Neyber in Salary Finance

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Neyber, a consumer lender backed by Goldman Sachs, is closing in on a rescue deal that will trigger its sale to its closest rival

The investment comprised a small sum in equity and between £70m and £100m in debt drawn down by the Neyber vehicles which issue loans to consumers, according to insiders.Police Mutual, which provides financial services to thousands of serving and retired police officers across Britain, is Neyber's founding client and a substantial shareholder in the company.

A number of customers have complained that previously approved loans have been cancelled without explanation.Sky News previously reported that in responses posted on Trustpilot, the consumer reviews portal, Neyber said it had"made some operational changes in recent weeks and unfortunately this has had a negative impact on our customers' borrowing experience".

Financial watchdogs have been monitoring the situation at Neyber, which is regulated by the Financial Conduct Authority. To underline the apparently troubled state of Neyber's finances, it indicated that - inclusive of the £13m of new money - the company would be valued at just £23m after a fundraising.

Neyber's other major shareholders include Wadhawan Global Capital, which is also a significant backer of Zopa, the peer-to-peer lender which is in the process of securing a full banking licence from the City regulator.

 

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