Paragon Group has launched a 6% Sterling retail bond.

The bond has fixed interest at the rate of 6% per annum, will be payable semi-annually in arrears on 5 March and 5 September of each year, until 5 September 2020, with a final short coupon payable on 5 December 2020, the date the bonds mature.

The bonds have a minimum initial subscription amount of £2,000 and are available in multiples of £100 thereafter.

The offer period is now open and is expected to close at 5pm (London time) on 26 February 2013, with Canaccord Genuity Limited acting as issue manager.

Nigel Terrington, chief executive of Paragon, said: “The bonds will complement our already strong balance sheet, allow us to diversify our funding base and extend the tenor of our borrowings. We have operated in the UK markets for over 25 years with a business model that kept us profitable throughout the recent credit crunch.

“We continue to see strong growth opportunities in the markets in which we operate.”