Contract hire and rental company NVR Fleet UK has completed a restructuring of its asset backed debt with its principal asset backed lenders.

This restructuring has been completed in order to allow NVR Fleet UK to fund all future assets on a net basis, thus paying a substantial deposit for all future vehicles and improving the securities position of present and future asset backed lenders.

“We have converted our business model overnight away from a gross to a net funding model,” explained NVR Fleet UK chief executive officer David Edwards.

“It means our business has no requirement to buy or sell vehicles – we can buy as we choose or wish.”

The company, which has 8,200 vehicles and a further 6,000 under management, believes that the future of the commercial vehicle contract hire and rental sector must be characterised by this net funding model and strongly supports the funding community’s drive to implement this structural change throughout the sector.