Commodity financing


Valvestock’s Structured Commodity Finance team provides funding to a broad customer base at different levels of the capital structure, using various assets as collateral. Our ability to value and manage collateral efficiently enables us to provide optimal financing structures that are tailored to the specific requirements of our clients.

We provide funding solutions for exchange-traded commodities in the form of pre-export finance, borrowing base facilities, transactional finance, mezzanine finance and equity:


Pre-export finance

Financing of inputs secured against physical production
Combinations with off-take agreements and price risk management solutions also possible

Borrowing base facilities

Working capital facilities secured against accounts receivables, inventory, forward contracts, equity and cash

Transactional Financing

Working capital secured by title over specific assets from source through to end-user

Physical Trading

Physical purchase and sale of exchange traded commodities in storage or in transit

Mezzanine Finance

Capability to deliver a variety of mezzanine financing structures to clients


Close partnerships with several businesses through equity financing
Equity interests in production and trading companies


Commodity finance aims to provide short-term, self-liquidating finance facilities to a range of trading companies from the mid-sized specialist product trader to the globally-integrated major trading houses. These facilities may be secured or unsecured depending upon our perception of the creditworthiness of the borrower and the structure of the business we are undertaking. Our major business lines comprise steel and base metals, energy products and agricultural commodities. Generally we target business where there are liquid terminal markets for the underlying commodity, but we will also work selectively with market-leaders that trade less liquid commodities.

Valvestock’s trade finance team for commodities operates on a global basis providing comprehensive solutions for the finance of international trade. We employ a team of professionals, all of whom have multi-year experience in commodity finance and can offer our customers a range of traditional or bespoke commodity-finance solutions using a full range of products, including:

  • Issuance of Letters of Credit
  • Standby Letters of Credit
  • Guarantees and similar trade finance instruments
  • L/C confirmation services

Warehouse and receivables financing
The Commodity Finance team also works in close cooperation with colleagues in pre-export, shipping finance, and Export Credit Agency backed finance to deliver a comprehensive solutions based offering to all of our customers, however large or small.

Our Uniqness

Reasons to Choose Valvestock Capital

Valvestock Capital Limited offers the facility for your project to be funded on a 100% LTV basis subject to terms and conditions and for comparatively very little initial outlay.