"The partnership complements our other institutional warehouse and forward flow partnerships, which together provide a strong funding base that enables us to meet the continued strong demand for our market-leading bridging products"
- Andrew Townsend - Glenhawk
Kroo Bank has completed a loan portfolio acquisition and entered a forward flow funding arrangement with specialist bridging lender Glenhawk, in a deal designed to support future lending across the UK property market.
Kroo, a fully licensed digital bank, has built its business on consumer banking products. The Glenhawk transaction forms part of a broader strategy to partner with established specialist lenders operating in areas of the market that high street banks routinely underserve. Property investors and developers frequently require tailored financing that falls outside standard bank criteria, and specialist lenders like Glenhawk exist to fill that gap.
Under the agreement, Kroo acquires an existing portfolio of Glenhawk loans while also funding a portion of future bridge loan originations through an ongoing forward flow structure, creating a long-term funding partnership between the two firms.
"This partnership reflects Kroo Bank's strategy to diversify areas of the market that are often underserved and lack access to the funding they need," said Veronika Lovett, chief executive officer at Kroo Bank.
"Glenhawk has an excellent track record in specialist property finance, and we're proud to support their next phase of growth with stable, long-term funding. As we continue to grow, partnerships like this allow us to deploy capital into established sectors where experienced lenders are already delivering strong outcomes for borrowers across the UK."
For Glenhawk, the arrangement adds another institutional funding line alongside its existing warehouse and forward flow partnerships, strengthening the capital base it uses to meet demand for its bridging finance products.
"We are delighted to have entered into a long-term partnership with such an innovative bank as Kroo," said Andrew Townsend, chief executive officer at Glenhawk.
"The partnership complements our other institutional warehouse and forward flow partnerships, which together provide a strong funding base that enables us to meet the continued strong demand for our market-leading bridging products."
The deal also marks a further step in Kroo Bank's efforts to diversify its lending activities beyond retail banking, targeting specialist property finance as a sector where it sees the potential to deploy capital at scale.
