Citi Gave £100 Million Credit Line to Lender Backed by MFS’ Raja

Citigroup extended a £100 million ($134 million) credit line to UK-based Interbridge Mortgages, a rapidly expanding lender backed by entrepreneur Paresh Raja. The funding was approved as Raja’s other firm, Market Financial Solutions Ltd., faced imminent collapse, raising questions about timing and risk assessment. Interbridge Mortgages, part of Raja’s financial empire, specializes in short-term lending, with Citigroup’s injection aimed at fueling further growth amid sector volatility. The move underscores Citigroup’s strategic bet on UK alternative lenders despite regulatory scrutiny and market instability in the mortgage sector. Analysts note the deal highlights broader trends in high-risk lending, where traditional banks back niche players amid tightening credit conditions.