Financing
Hedgewood is an opportunistic lender and is involved in various types of financing activities. We focus on companies with fundamentally sound business propositions but which may be too junior to get other sources of financing or that may be in out-of-favor industries or business verticals. The key for Hedgewood, whether it is mezzanine financing or an asset-backed specialty finance loan, is that all our financings are individually structured with the specific needs of the borrower in mind.
Mezzanine Financing
Hedgewood views mezzanine financing as a “next step” for companies that have wisely invested their venture capital, but need additional capital to get them to the next level of expansion. We have the flexibility to structure the financing to the specific situation and needs of the borrower. For example, the financing can be structured as a form of high yield debt, or alternatively, a form of convertible debt may be more suitable. We also offer flexible payment terms such that the mezzanine debt can be taken out through bank debt or additional venture capital at the option of the borrower.Mortgage and Construction Lending
Hedgewood is a non-bank lender providing residential and commercial construction financing, directly and on a syndicated basis. We pursue a strategy of growth through investments in selected niche markets that are under serviced by large lending institutions. We offer flexibility, both regarding the term of the loan and whether the interest rate is fixed or variable. We also offer mortgage loans on existing properties. Our geographic focus is on the Greater Toronto Area and other markets in Southwestern Ontario.Specialty Finance
Hedgewood both invests in and offers directly, asset-backed financing secured with non-traditional assets. For example, we have made investments in companies that provide law firm and litigation financing.