FIMBank, an international trade finance specialist headquartered in Malta, and UAE-based Lenovo Financial Services META LLC (LFS), have concluded a landmark cooperation agreement which aims to provide a long-term strategic finance programme for LFS’s IT distributors across the Middle East.
Significantly, the partnership strategically aligns both parties for the long term by combining the strength of the LFS distribution network and FIMBank’s lending expertise. This innovative partnership leverages the respective strengths of the two parties to create compelling value for both institutions.
The programme, which is designed to support the working capital cycle of the leading IT distributors in the Middle East, Turkey and Africa region is expected to accelerate growth for both parties in this fast-growing IT distribution sector. Under the programme, FIMBank will be supporting distributors by extending the credit period received by reputed sellers through the financing arrangement.
The partnership leverages the respective strengths of the two parties
The partnership has been established during the COVID-19 pandemic, where the world has seen a significant shift and uptake of technology to support connectivity and flexibility of working environments and locations. The programme supports the increase in working capital requirements of distributors driven by high demand. The distributor finance programme is unique in its nature, as it is designed to rapidly optimise working capital support generated by increasing IT sales.
Kamel Moris, chief commercial officer of FIMBank, said: “We are extremely honoured to partner with LFS whose objective is to make investment in technology more accessible and greener too. LFS’s innovative payment solutions such as RecylceIT and BuyIT Back support regional and international sustainability initiatives, prevent technology obsolescence and eliminate IT waste through reuse, repurpose and recycling of IT products. This is a very important sector that supports and benefits the global economy. Going forward, we aim to further support global digitisation trends, by looking towards pursuing similar strategic partnerships.”
John Knibbs, managing director of LFS, commented: “Our collaboration with FIMBank has provided our partners with a unique solution that enhances free cashflow and working capital at a time when it is needed most.
“We are delighted to have formed a strong relationship with a funding partner that shares the same vision and strategy by delivering true value and solutions to our customers and partners across the region.”
For more information about FIMBank plc, visit www.fimbank.com.