Alpha

Project Description

Brenus Corporation (“Brenus”) is delighted to present a unique opportunity to invest in the automobile financing market in the US (project “Alpha”).

A growing US economy coupled with low oil prices is supporting strong growth in the auto financing market and we see a niche opportunity in the Latino markets in Florida, Texas and Georgia.

Brenus is looking to capitalize Assured Auto Finance Ltd (“AAL"). AAL will be licensed to undertake the purchase and sale of automobile finance contracts in the state of Florida.

AAL will work with dealerships to acquire auto finance contracts with the following characteristics:

–  "Sub prime" customers in the growing Latino market;

–  Vehicle value in the $10,000 to $14,000 range;

–  Average coupon and tenor of 21% and 48 months respectively;

–  AAL to finance on average 80% of dealership financing.

These contracts can either be held to maturity or sold into the secondary market. There is a deep secondary market for these contracts in which local and regional banks, credit unions, legal firms and high net worth investors acquire loan portfolios. AAL has been structured as a turnkey operation, which will be fully functioning within 45 days of the completion of the transaction.

Brenus is looking to finance a $5 million initial capitalization for auto loan purchases for the initial operational period. We expect the $5 million to be fully utilized within a 12 month period after which a combination of cash flow plus (limited) debt financing will be used.

Brenus is willing to offer investors equity in AAL or alternative structures which could include a combination of equity, mezzanine and debt financing.