Invoice financing provider Stenn has gone into administration following an application from HSBC in the UK High Court. 

The action follows an administration application filed by HSBC Innovation Bank against Stenn International and its funding vehicle Stenn Assets UK on December 2. 

London-headquartered Interpath Advisory announced on December 4 that managing directors Jim Tucker, Kristina Kicks and Joshua Dwyer had been appointed as joint administrators following an order from the court. 

Tucker says: “Following our appointment as administrators, our immediate focus is to engage with the companies’ employees, customers (and their debtors), suppliers and key stakeholders in order to stabilise the companies’ operations and take all necessary steps to maximise value.” 

Stenn employs over 200 people globally and has deployed more than US$10bn in capital to customers in over 70 countries since 2016, Interpath says. It has generally targeted smaller firms that may otherwise struggle to secure trade finance, with offices in London, New York and Atlanta.

“Whilst the joint administrators assess the options available, debtors should continue to fulfil their payment obligations in the usual way,” Dwyer says.  

Interpath says it will contact all customers and creditors affected by the administration with further information over the coming days. 

Stenn and HSBC each declined to comment when contacted today by GTR. 

HSBC Innovation Bank had acted as security agent on a revolving credit facility that Stenn Assets UK signed in November 2022, originally valued at US$25mn. The facility was initially signed with Silicon Valley Bank UK prior to its collapse and takeover by HSBC. 

Companies House filings show Stenn made US$28.4mn losses in FY23, up from US$8.1mn the year before, while also recording a 5% drop in revenue. 

In recent years, it has secured significant investments from bank and non-bank institutions such as Barclays, HSBC and Natixis.  

Crayhill Capital Management has been another active backer, approving US$200mn in funding for a programme rolled out by Stenn in the initial months of the Covid-19 pandemic. 

Additional reporting by Felix Thompson.