b'Annual Report & Accounts 2022 Mercia Asset Management PLC 25Strategic reportDebtRefocused on growth improving productivity, digital innovation As businesses seek to recover from theor transitioning to a new net-zero pandemic, Mercias Debt team reports aeconomy requires a specialist investor resurgence of corporate activity. Followingwith the breadth and depth to support these regional businesses.Leveraging this capital the disruption of COVID-19, management buyouts, acquisitions and refinancings arealongside Mercias wide changing the profile of recent applications.During the year, a further commitment was awarded by the BBB to the NPIF debtrange of funding and With many traditional routes to financefund mandate of 10.9million. Combined not available to regional SMEs, thewith SME loans, Mercias dry powder isinvestment options governments RLS was instrumental innow over 50million. Leveraging thisstrengthens our helping companies navigate COVID-19 andcapital alongside Mercias wide range survive unprecedented trading conditions.of funding and investment optionsposition in the market This came on the back of the Coronavirusstrengthens our position in the market as Business Interruption Scheme (CBILS),a dominant funding partner.as a dominant funding both of which Mercia was accredited for via the NPIF. But now, it is time for thoseOver the last five years, we have fundedpartner.businesses to refocus on recovery andover 300 businesses across the UKs to use debt as an instrument for growth,regions, which has helped bridge the not simply survival. With RLS currentlyfunding gap between the amount that closed and the high street banks inwardlybanks and other funders are able to focused, securing funding has becomeprovide to businesses and the amount more challenging for many commerciallythey require for growth. This type of viable businesses. In contrast, Mercia isfinance is crucial to high-growth firms, seeing an upturn in applications expectedwhich have the potential to provide jobs to continue in the year ahead.and economic growth. The agility and diversity of the UKs regional SMEs require a lender that can respond quickly and with a tailored financial solution. In addition, adapting to trading outside of the European Union, c. 118 mFuMPaul TabernerManaging Director,Mercia Debt Funds'