Stobart Group has entered the savings market with a new six-year retail bond.

The retail bond is aimed at small investors, and will yield a fixed-rate of 5.5% per annum, while providing Stobart with another funding stream.

Well known retail brands names such as Tesco, John Lewis and National Grid already market bonds, which  offer investors relatively attractive interest rates in exchange for tying up their money.

Stobart bonds will available to buy and trade on the London Stock Exchange, and can be bought in multiples of £100. There is a minimum investment of £2,000. Interest will be paid in half-yearly instalments.

Stobart chief financial officer Ben Whawell said: “Following a successful UK road show to test market conditions for a retail bond issue, we are very pleased to announce our entry to the market today.

"We enter the market on the back of significant expansion of the group, with developments in our air, biomass and estates divisions now delivering results and bringing benefits across the business."

The issue is being managed by investment bank Canaccord Genuity and is open until 27 November, although it may close earlier.

Under the terms of the bond issue, if Stobart Group were to default or become insolvent, investors may lose some or all of their investment.

In August Stobart warned it had seen no let up in what remained a tough trading environment.