Trufin PLC on Tuesday said that Lloyds Banking Group PLC has given notice to terminate a commercial agreement with Satago Financial Solutions Ltd, a subsidiary of Trufin.

Trufin is a London-based holding company of three growth-focused technology businesses operating in early payment provision, invoice finance, and mobile games publishing.

Trufin shares were down 33% to 51.00 pence each on Tuesday morning in London, while Lloyds shares were 0.3% lower at 58.64p each.

Trufin said the contract was originally for five years and started in July 2022, aiming to license Satago’s software platform for use by the bank’s single invoice finance and whole of book invoice factoring customers.

The Lloyds representative on the board of Satago, Ben Stephenson, is stepping down immediately, Trufin said.

Despite the contract blow for Satago, Trufin confirmed that trading for the group as a whole is in line with market expectations. It remains on track to achieve earnings before interest, tax, depreciation and amortisation profitability in 2024. For 2023, Trufin had reported an adjusted Ebitda loss of £3.0 million, narrowed from £5.7 million in 2022.

Trufin said this is thanks to its Playstack business, which focuses on game publishing, development and marketing and is trading ahead of expectations.

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