[ibimage==46423==Original==none==self==ibimage_align-center]Chicago-based online lending platform Avant announced today the launch of Avant Institutional Marketplace. The program allows institutional investors to buy loans created by the Avant tech platform.
Global investor KKR led the $400 million financing for the new program, and Victory Park Capital and Jefferies contributed, as well.
“The launch of Avant Institutional Marketplace is a key milestone in the evolution of our business,” Suk Shah (pictured right), CFO of Avant, said to Built In Chicago via email. “Partnering with global institutional investors validates the underlying quality of our credit, allowing us to scale and grow as a business, while also generating attractive returns for our investors.”
With more than $1.4 billion in funding and having more than 175,000 loans issued on its site, Avant has certainly impacted online lending, making a typically rigid lending process more efficient and customer-friendly thanks to its big data and machine-learning algorithms.
By the end of Q2, Avant predicts that personal loan originations made on its site since Feb. 2013 will total more than $1 billion.
The launch of Avant Institutional Marketplace comes just weeks after the company acquired ReadyForZero and rebranded from AvantCredit to Avant. Avant expects the new program will produce even more growth.
“KKR is a best-in-class financial institution with a longstanding reputation for building significant value for its partners. We are thrilled to join forces with KKR and build a new platform where investors can purchase Avant loans originated through the Avant platform,” Al Goldstein, CEO of Avant, said in a statement. “The new sources of capital obtained through the Avant Institutional Marketplace will allow our company to focus on growth and continue to serve the unique financial needs of the everyday consumer in the U.S. and abroad.”
Have a tip for us or want to share news about your company? Email us via [email protected].