Nera Capital, a Manchester-based specialist in litigation funding, has announced a strategic partnership with investment firm Fintex Capital for an initial £20 million investment. This partnership signifies a critical milestone as demands for law firm financing grow, particularly from claimants seeking redress for issues such as hidden commissions on car financing and housing disrepair.
The new funding line will enable more consumers to access the justice system by reducing financial barriers. Through this investment, Nera Capital aims to expand its reach and diversify its funding sources, thereby extending the benefits of capital and expertise to a broader range of consumers.
Aisling Byrne, Director of Nera Capital, stated that Fintex Capital’s investment will accelerate the firm’s growth, scaling its operations to provide vital financial support to clients when it is most needed. Byrne said, ‘Along with being better positioned to ensure justice remains accessible, even against the most formidable adversaries, the additional funding line increases Nera Capital’s diversification. We have also now successfully underwritten our operations through a number of heavyweight institutional lenders, and this latest infusion of capital allows us to explore new avenues within the litigation finance market.’
She further added, ‘We are pleased that our operations were once again endorsed by a prominent institutional investor. The Fintex team, led by Sophie Batoua, were a pleasure to deal with and the transaction was successfully executed in record time.’
For Fintex Capital, this investment marks their third UK funding line of approximately £20 million. Fintex Capital’s CEO, Robert Stafler, mentioned that the increase in demand for law firm finance is not surprising. ‘This granular, insurance-backed financing provides vital funding to consumers when they need it most. It enables them and their lawyers to bring justice to families who, without Nera’s support, would be unable to seek redress. Nera has a strong track record in its market, having successfully provided around £200 million in funding for UK consumer claims to date.’
Stafler added, ‘We are delighted to see that our investment helps Nera solidify its position as a leader in its field. To us, this is just the beginning of a successful long-term partnership.’
For the investment, Nera Capital was advised by Walker Morris, Mason Hayes & Curran, and Copsey Murray Chartered Accountants. Fintex Capital was advised by Fox Williams and Mason Hayes & Curran.
Byrne also highlighted that Nera Capital’s ability to secure such significant investments from multiple sources underscores its leadership in the litigation finance space. ‘Through continuing to expand our footprint and push the boundaries of what’s possible in litigation funding, clients and investors alike can look forward to a future where justice is more accessible, and financial barriers are diminished. This partnership is a pivotal step in an exciting journey that will see Nera Capital reaching new heights, driving industry change, and continuing to support those in need with unwavering dedication.’
The strategic partnership between Nera Capital and Fintex Capital is set to revolutionise the litigation finance landscape, making justice more accessible by reducing financial constraints for consumers. Both companies are poised for significant growth and increased influence within the industry.
